Due to weak market demand, La-Z-Boy UK has commenced consultation plans regarding the potential closure of its factory in Colne, the former Furnico manufacturing unit it acquired in 2021 (see related).
"Market conditions remain challenging across the furniture manufacturing sector," explains La-Z-Boy UK. "Over the past two years, La-Z-Boy’s UK manufacturing business has experienced consistently low order volumes, which has impacted operational costs.
"With no clear indication of dramatic strengthening of demand in the near to medium term, the company has entered into a formal collective redundancy consultation process with the proposal to close the plant."
La-Z-Boy Manufacturing UK notified employees on 29th October about the consultation period, which will last at least 45 days. During this time, it says operations and production will continue.
"No final decision has been made, and the company is continuing to explore all viable alternatives," La-Z-Boy UK adds.
