Production is set to restart at Mortons Rolls for the first time in two weeks.
A deal has been reached by new owners allowing production to begin again on Sunday with around half of the previous workforce brought back.
The Drumchapel bakery ceased production on March 3 following years of financial difficulty brought on by the covid pandemic, rising energy bills, and contractual obligations to large supermarkets. Around 230 employees were hit with redundancy notices following the collapse.
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A consortium of investors entered negotiations with HMRC, administrators, and the Scottish Government following the shock closure with a view to ensuring that the business can continue trading.
The consortium PVL which is being represented by John McIlvogue has now taken ownership and control of the company’s assets.
Around 110 workers will be brought back immediately with the others hoped to be brought back in the 'short, medium-long term' if the right support is available.
John McIlvogue said: “ This is a bittersweet moment for me, for the people who work here and for the wider community that relies on the jobs this factory provides. None of us wanted the past couple of weeks to unfold in the way that they have, but it has been entirely outwith our control.
"The important thing now is that Morton’s is back in action, we’ve got the workforce back on the production line, and we’re ready to start producing our famous rolls that the good people of Glasgow have been crying out for.
“We want to be as honest and upfront with people as we possibly can be, and the truth is that we are going to need help moving forward. The business is undoubtedly viable - we have a world-class product and an exceptionally experienced workforce, but the factory itself is antiquated and in need of a serious overhaul.
"That’s where we need the help of the Scottish Government and its agencies, something we are hopeful we can iron out in the coming weeks. We are incredibly grateful for the support of Paul Sweeney MSP who has been instrumental in securing commitments from the First Minister that her government will support us. We are confident that the government will see the benefit of keeping this brand alive and keeping these workers in long-term, stable employment.
“In an ideal world, these things would have all been sorted out before we restarted production, but the reality is we couldn’t leave the workforce in limbo. They needed us to unlock the gates and let them get back to work, and we knew that was the right and proper thing to do. The love and support shown to Morton’s in the past couple of weeks has been incredible – only in Glasgow would a morning roll solicit such affection, but it shows the power of this brand and it shows the potential of what we could achieve in the years to come. We are absolutely committed to getting this right, to putting Morton’s on a sustainable footing and an upward trajectory, but we are being honest and upfront in our assertion that we will need support to do so.
"Glasgow doesn’t need to worry about having nae rolls anymore; Morton’s is back.”
Paul Sweeney MSP added: “It is with a sense of relief that after almost two weeks of intense, detailed discussions, production will now restart at Morton’s Rolls and over 100 jobs have been saved. After meeting with John McIlvogue, I knew that he was serious about bringing Morton’s back to life and that he cared deeply about the business and its excellent workforce, so I was eager to help him liaise with government ministers and support his negotiations to revive this iconic brand.
“These circumstances are by no means perfect, and there is still work to be done to make sure Morton’s is a sustainable business that can thrive for generations to come. There is a commitment from the government to make sure they do everything in their power to make sure that is the case, and I will do everything in my power to hold them to that commitment.
"The community of Drumchapel needs Morton’s to thrive and I’m confident that with the right support to invest in modernising operations and with a renewed focus on their core bakery products, this business will outlive all of us. It has been a painstaking couple of weeks for everyone involved, but we got there in the end and I’m absolutely delighted that the people of Glasgow will be able to enjoy their favourite morning rolls once more.”
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