Over 1,000 employees across logistics firms DHL, Kuehne + Nagel and Wincanton could face redundancy, after B&Q revealed restructuring plans for its distribution centre (DC) network.
The DIY giant today (8 June) announced proposals to exit several sites across the UK, to be replaced by a new £77.4m 796,649ft2 facility in Swindon which will create 550 jobs and a further 250 at its existing Worksop, Notts site.
As a result, 1,031 staff have entered a consultation period over the proposed redundancies. The breakdown of the affected companies and sites is as follows:
•DHL: 615 at Preston Brook, Cheshire.
•Kuehne + Nagel: 24 at the national planning centre at Preston Brook; 75 at Chepstow, Monmouthshire.
•Wincanton: 157 at Coventry; 125 at Swindon; 30 at Middleton, Greater Manchester; 5 at Milton Keynes.
The new Swindon DC is expected to be functional from July 2011, and be fully operational by January 2012. B&Q says it hopes all 125 of the Wincanton staff at Swindon will transfer to the new facility.
A B&Q spokeswoman says: "B&Q will continue to work closely with its third-party partners to ensure thorough consultation is completed with proper and fair arrangements made for all affected employees, along with every option explored for minimising redundancies."
The retailer says the new DC will bring products closer to stores, "therefore improving customer service, as well as reducing transport miles, transport costs and CO2 emissions".
Wincanton comments: "It is too early to say how many affected employees will be made redundant. Wincanton has commenced formal consultation with staff and their representatives and we will use every endeavour to secure employment for them, including redeployment to other contracts within the Wincanton and B&Q networks.
"In the meantime, we recognise and regret the effect this proposal will have on our employees and their families, and will take all steps to try and lessen the impact."
A DHL spokesman adds: "We will work with those affected, and in partnership with trade union USDAW, to identify opportunities elsewhere within the DHL business." DHL has been working on the B&Q contract since September 1990.
A spokesperson for Kuehne + Nagel says consultation with staff is ongoing and it will attempt to minimise redundancies.
Staff at B&Q's DC in Doncaster, South Yorks are unaffected by the announcement.
