British American Tobacco, who have run their tobacco plant in Corby for nearly four decades, have announced they are to close the factory.
The site, which opened in 1983 providing much-needed jobs for the town after the closure of the steelworks, processes tobacco leaf which is used in cigarette its brands including Rothmans, Lucky Strike, Camel and Dunhill.
But the company in Headway, Great Oakley, has now announced that, following a review into its manufacturing operations, it has started a staff consultation regarding the closure of its Corby factory.
The company said that 39 permanent staff and one contractor will be affected.
The firm had been known in the town for its good working conditions and decent pay rates, with some of its employees working there for many years.
A statement from the company said: “British American Tobacco (BAT) announced.. the start of a consultation process with staff at its Corby facility following a review into its European and North African manufacturing operations aimed at addressing overcapacity and rising manufacturing costs.
“As a result of this review, BAT has made the difficult decision to announce the start of a consultation process regarding the closure of our Corby factory potentially affecting 39 permanent staff and one contractor.”
Will Hill, Head of Legal and External Affairs at BAT UK Ltd, said: “This decision is no reflection on the hard work of the Corby workforce but simply highlights the fact that, as a global business, it is more cost effective for us to maximise the capacity we have at one of our other manufacturing sites.
“We will ensure that all affected staff are treated with respect, kept informed and offered the support they need during what we know will be a challenging time for them including access to a dedicated, confidential employee assistance service and outplacement support should they need it.”