The announcement that Austrian firm Lenzing Group intends to stop production at its Grimsby fibres facility has been met with anger and alarm locally after the move put around 215 jobs at risk and signalled the end of decades of manufacturing at the Energy Park Way site.
Immediate fallout for workers and the town
Lenzing said it is carrying out a strategic reshuffle under a new “Grow Nonwovens, Reset Textiles” plan, with closures affecting plants in the UK, Indonesia and Austria and around 2,000 roles expected to go across the business over the next two years. The company told staff the Grimsby production unit – which makes lyocell, a textile fibre – could be closed by the end of 2027, though it says it is exploring alternatives, including selling the site.
The move prompted swift condemnation from union representatives and from the region’s Labour MP. Officers from Unite said they would be doing everything they could to support members, while urging the company to consider all possible options to preserve jobs.
“This is devastating news for the workforce and Unite will be offering maximum support to our members at this difficult time.”
The company’s chief executive Georg Kasperkovitz is reported to have said the business is assessing “strategic options for the affected sites, including potential divestment or other value-preserving solutions”. He added that if no viable outcome is found, Lenzing would carry out an orderly wind-down with attention to safety, supply continuity and social and environmental responsibilities, and that it would engage with employee representatives on support and mitigation.
- Local jobs at risk: c.215 roles at Lenzing Fibres, Energy Park Way.
- Company-wide cuts: c.2,000 jobs globally across three sites.
- Timescale: Plant could be closed by end of 2027 if no sale or alternative is found.
For Grimsby — a town still feeling the long-term effects of industrial change — the announcement raises immediate concerns about employment, local supply chains and the future of manufacturing expertise on the East Marsh. While Lenzing has stated an intention to consider divestment, an outright closure would remove a long-standing engineering and production operation from the area.
| Item | Figures |
|---|---|
| Jobs at Grimsby plant | c.215 |
| Projected global job cuts | c.2,000 |
| Potential closure deadline | end of 2027 |
Union leaders have signalled they will scrutinise the plans closely. The company has said it will consult with employee representatives and “relevant stakeholders” to discuss support and mitigation measures for staff affected by the announcement.
Locally, MPs and council representatives will be watching developments closely. Any redundancy programme on this scale will trigger formal consultation periods and could attract interest from local and national government if avenues such as site sale, asset transfer or retraining schemes are to be explored.
For the workforce and families who depend on the plant, the immediate weeks will be characterised by uncertainty while unions and company negotiators attempt to establish whether a sale or other solution can be found to preserve jobs. If not, an orderly shutdown remains the stated fallback.
As this plays out, Grimsby faces hard choices about how to replace high-skilled manufacturing roles and how to support workers through redundancy should that become unavoidable. The wider economic impact on suppliers and the local labour market could be significant if the worst-case scenario materialises.
Further updates will follow as Unite, Lenzing and local representatives begin formal consultations and outline any support packages or alternatives for the workforce.
