News - Midlands

EVS in potential closure blow

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A subsidiary of Spalding-based food producer Bakkavor faces possible closure after a "sustained period of reduced demand".

English Village Salads (EVS) said the damage was caused in part by the loss of a major supply deal with supermarket giant Asda.

Bakkavor-owned EVS said it has started a period of consultation to discuss the ongoing viability of the business operation.

All 134 hourly paid staff and 44 salaried staff are affected.

In May, EVS revealed that Asda had elected to take a substantial part of its salads procurement in-house.

This, combined with the ongoing challenging trading environment, was said to have had "a significant effect" on the volume of business at EVS throughout the remainder of 2011.

The company made 74 redundancies earlier this year following the Asda contract loss.

 
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