Job fears as bakery shops close

Staff at Ferrari's shops are concerned about their jobs

Concern is growing about the future of 350 jobs at Ferrari's bakery shops in south Wales after a factory closure.

Union officials say the factory shutdown has led to the closure of Ferrari's stores around south Wales.

Ferrari's was supplied by Best Bakeries in the Cynon Valley, which has closed with the loss of 40 jobs.

This followed the loss of 50 jobs at Best Bakeries last week as the plant headed into administration. Ferrari's could not be contacted for comment.

John James, district secretary for the Bakers, Food and Allied Workers' Union, said Ferrari's staff were concerned about their jobs.

There are 51 Ferrari's shops around south Wales.

"The people in the shops, 350 of them, are in limbo at the moment because they are not working," said Mr James.

"They can't claim anything from the government because the company is still trading."

Meanwhile, Best Bakeries ran into financial problems due to the increasing cost of raw materials and "challenging" conditions on the high street.

After the loss of 50 jobs last week, a fire last Friday destroyed three vehicles and caused smoke damage inside the plant.

Administrators have now announced the plant has shut with the remaining 40 staff laid off.

'Only option'

Alistair Wardell, of administrators Grant Thornton Recovery and Reorganisation, said stopping production at the bakery and laying off the workers was the only option.

Union representatives said Best Bakeries staff were "absolutely gutted".

Mr James said: "There is someone looking to put a recovery package together and start a new company.

"The funding system doesn't allow grants to go to firms that are in trouble, but there are grants for new businesses and start-ups."

Chris Franks, a Plaid Cymru AM for South Wales Central, said he was meeting minister for the economy Ieuan Wyn Jones to discuss the job losses.

"I have also been contacted by families of shop workers who have said that some Ferrari's shops have closed their doors," he said.

"This will mean that more people will be losing their jobs."

It is just over a year since the factory, which used to be Ferrari's headquarters, was taken over by Best Bakeries.

The plant supplied bread, pastries and cakes to Ferrari's.