L’Oreal to Sell UK Plant to Fareva, Cut 200 Jobs
France-based cosmetics company L’Oreal has said that it will sell its manufacturing facility in the UK to Fareva, a cosmetics and pharmaceutical company. In line with this move, 200 jobs will be made redundant.
The plant, which is to be sold to Fareva, manufactures shampoos, conditioners and styling products for the Garnier Fructus, StudioLine, L’Oreal Kids and Elseve haircare brands. Currently, this plant employs around 260 people.
A significant decline in L’Oreal’s UK supplier base has reportedly forced the facility to import up to 70% of raw materials and components from overseas. Added to this, about two-thirds of current production is exported. The company has cited these as reasons for selling the plant.
According to Cosmetic News, L’Oreal and Fareva will enter into a three-year sub-contract for the continued production of haircare products for the UK market.
In relation to selling the plant, the company said: “L’Oreal has sought a solution that will secure the long-term future of the site.”