Lurgan, Co Armagh, Northern Ireland: Brexit is one of the factors behind a proposal to close the Lurgan site of Morgan McLernon, a subsidiary of the Culina Group.
Morgan McLernon runs 66,000sq ft of chilled warehousing, along with 220 vehicles and 600 trailers.
In a letter to staff seen by the Irish News, Northern Ireland World and local MPs, Morgan McLernon and Fowler Welch chief executive John Kerrigan said: “Following a full strategic review of the Lurgan business it is with regret that, on behalf of the board of directors, I announce the proposed cessation of activity and site closure in Lurgan.
“As a consequence, it is also proposed that the Fowler Welch-managed GB operations in Appleton and Cairnryan will also cease.
“The business has for an extended period continued to operate in an unsustainable financial position, not helped by Brexit and many other external factors.”
Kerrigan said the proposed closure was not a reflection of the commitment and contribution of staff, who he said have been “unstinting in their agility and willingness to adapt to the changes”, but was more a reflection of the difficult ongoing sector and market pressures faced by the company.
Local politicians were alarmed by the proposals which could affect up to around 500 employees. Eóin Tennyson, Alliance Upper Bann MLA, said: “The letter to staff cites Brexit amongst a number of external factors which have led to this decision. It will be of little comfort to the workers impacted that some of the most vocal and reckless proponents of Brexit are only now decrying this unfortunate outcome.”
Carla Lockhart, DUP Upper Bann MP, said she was “deeply concerned” at the proposal to shut the site. She said the business was a “major employer” in her constituency but that the NI Protocol, which introduced a de facto border in the Irish Sea, had caused insurmountable problems.
“I have been shown the letter from management to workers which explains that despite their best efforts, this decision has become unavoidable because of the negative implications of Brexit in Northern Ireland which are of course defined by the difficulties arising from the imposition of a border down the Irish Sea.”
John O’Dowd, Sinn Féin MLA, has expressed concern at the proposed closure. “This announcement will be devastating news for the workers at the company and for the local economy. It should not be lost on anyone that the company has pinned much of the blame for this announcement on the Brexit fall-out,” he said.
A Culina Group spokesperson told local press: “We can confirm that a proposal has been put forward to close the Morgan McLernon site in Lurgan, Northern Ireland. A period of meaningful consultation has now been entered into with those colleagues affected.”
Culina announced the appointment of Kerrigan as chief executive on March this year.
