Gills Cables Ltd, based at Packington Hall on Tamworth Road, employs around 130 people. But when the firm, which supplies the automotive industry, moves to its new site in Tamworth in January, it will only be taking between 30 and 40 of staff.

Consultations with em-ployees and their representatives are now taking place.

The job losses form the next phase of a three-year restructuring plan at Gills Cables Ltd, in response to global competition.

Although the firm continues to win contracts, they are based on production at the Indian parent company Suprajit’s factories.

The restructuring process began in August 2004, when 240 people were employed on site. And in December 2004 it was announced the workforce could be slashed to 100 or less in two years time.

Peter Greensmith, director and general manager at Gills, said: “Since August 2004, the company has been in discussion with its employees about the impact on employment levels.

“We have had a policy of openness with employees from the early days, so none of this is news as such to those involved.”

Mr Greensmith said to mark the company’s time at Packington Hall an appeal for memorabilia had been launched.

Employees past and present are asked to donate anything they have symbolising Gills time at Packington Hall, and if enough material is collected, a room in the new Tamworth facility will be dedicated to the old Lichfield site.

T&G Union spokesman Andrew Dodgshon said:”Even though this news has been anticipated it is still an unwelcome start to the New Year for those who will be affected.

“The T&G will do all we can to ensure the process of moving to Tamworth takes into account workers’ wishes. Museums and memorabilia are nice but no substitute for jobs and skills.”

By Faye Casey