STUNNED workers at outdoor clothing firm Karrimor have been told up to 80 jobs will have to go as production is axed just days after it was sold to a South African firm.

The decision will bring to an end more than 50 years of manufacturing by Karrimor in East Lancashire.

Earlier this week the Clayton-le-Moors firm , which employs around 170 at its headquarters, was bought by leisure group Cullinan Holdings in a £9 million deal.

Workers said at a meeting earlier this week they were assured jobs were safe following the deal.

"The day after they called us in and told us production was stopping and that only staff for the warehouse would be needed," said one angry employee who asked not to be named.

"We went from coming out of the factory on a high one day to being totally depressed the next. It came as a complete bombshell." A consultation period has now started and no redundancies have yet been announced but heavy job losses seem inevitable. Around 100 jobs have already been lost at the firm over the past two years.

When production ends it is understood the site will become a warehousing operation for Karrimor.

A major restructuring of the firm is underway and the new owners have decided to turn Karrimor into a sales, marketing and distribution company rather than a manufacturing firm. Chief executive David Heys said that although this would lead to job losses in the short term he said there were plans to make Karrimor the European headquarters for Cullinan's leisure group which could lead to more employment.

Following the South African deal Mr Heys will leave the company.

Cullinan bought 83.3 per cent of Karrimor with the remaining 16.7 per cent going to an unnamed private investor.

For the past two years Karrimor has been owned by 21 Invest, the investment arm of the Italian Benetton family empire. 21 Invest will retain control of Karrimor shops following the deal.

Cullinan, listed on the Johannesburg Stock Exchange, was founded by Sir Thomas Cullinan in 1902.

The group includes the Cadac brand of camping and barbeque equipment - the biggest in Africa.

Karrimor, one of East Lancashire's longest established companies, began as a manufacturer of cycle bags in the 1940s.

It sells products including rucksacks, clothing and footwear to 22 countries worldwide.

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