HML will invest in enhancing client and customer service in four core locations. The review will result in the closure of its Scarborough site, where fixed costs and under capacity do not represent value for money for the business moving forward.
HML chief executive, Brian Brodie said: “Today’s announcement is part of our strategy to ensure the business is the right shape and size to grasp future market opportunities.
“It has resulted in our decision to concentrate on enhancing the quality of service we provide our clients and their customers in four core locations.
“Regrettably, this has resulted in the decision to close the Scarborough operation. We understand the personal impact on staff and have not taken the decision lightly, however, we hope our clients and employees will recognise, that, as a responsible business we must make tough decisions that are in the long term best interest of the majority of our employees.”
HML reviewed every function in the business and as a result 164 roles at all levels, out of a total workforce of 2,037, have been put at risk of redundancy. This breaks down to 136 people in Scarborough, 17 in Skipton, 2 in Padiham, 2 in Glasgow and 7 in Derry.
The planned migration of client work from Scarborough to HML’s other sites will continue, with the closure of Prospect House being phased between June and September.
Following a process of close consultation with HML’s union SURGE, all employees have today been informed of the new business structure and potential redundancies.