Jobs pledge backfires as company announce plans for 90 lay-offs!

Apr 23 2007 By Eddie Docherty, East Kilbride News

A HIGH tech audio equipment company in East Kilbride is preparing to lay off workers, three weeks after telling the News it had no such plans.

Linn Products, based at Waterfoot, announced yesterday (Tuesday) that a number of its 300 employees would be made redundant because of restructuring.

It refused to give exact numbers of the possible lay-offs.

However, the News understands the number to be shed will be around 90.

Workers learned of the news after being called to a mass meeting at the plant on Monday morning and many were left angry at the announcement.

While it came as a disappointment, staff said it did not come as a shock as they have been expecting such an announcement for some time.

The company which makes speciality entertainments systems, was given a Regional Selective Assistance (RSA) grant six years ago to help it expand its base.

Part of such packages often means companies have to give guarantees their workforces will remain at certain levels for a period of time.

Such a timeframe was believed to be in operation for Linn until April 2007.

One worker who did not want to be identified, said: “We’ve been expecting news like this for some time from the firm.

“There’s been rumours on the shop floor that things were not going well and many of us suspected that something would happen when April came.”

Linn has benefited from RSA support in the past with the recent grant, given in March 2000, totalling £1.3 million.

The company has an international reputation for producing quality sound systems which often find their way into luxury homes, cars and super yachts.

A company statement, announcing the redundancies, said: “In line with our commitment to produce the world's finest audio products in the UK, Linn is realigning its core business around the manufacture of a more focused range of even higher quality products, specifically aimed at the premium end of the consumer electronics market.

“The restructuring required by this strategic move does unfortunately involve the company suffering significant redundancies but this is necessary to prepare the ground for future growth.”

Linn founder, Ivor Tiefenbrun, added: “To maintain our competitive edge and to refocus on our core competencies, will require job losses and we have commenced consultation with our people with regard ton this.

“Whilst very painful, this action will ensure the company will have a bright future.”