THE boss of Silentnight has been replaced as the bed firm’s new owner battles a sales drop.
Group chief executive Neil Mernock has left to make way for a business turn-around specialist as the Barnoldswick company grapples with a retail slump that has seen hard-up consumers cutting back on ‘big ticket’ purchases like beds.
Silentnight’s sales so far this year are down 20 per cent on 2010’s figures and that has prompted new owner, private equity group HIG Europe, into action.
Mr Mernock, who led the firm for six years, has been succeeded by Jon Gatfield, an ‘operations expert’ with ‘business improvement specialist’ Alvarez and Marsal.
HIG said: “We are confident that Jon’s considerable experience and expertise will enable the group to emerge stronger than before, while maintaining the highest standards of quality, safety and customer service that are synonymous with the Silentnight name.”
Other key directors would keep their roles and no other jobs at Barnoldswick were due to be axed, said HIG.
However, 40 roles have been cut at Silentnight’s Sealy factory in Cumbria, to the concern of unions.
GMB officer Kevin Young said: “We have to remember that HIG is a private equity company and, generally speaking, they come in and asset-strip companies.
“It is a tough market at the moment but as a union we would still expect HIG to invest in Silentnight in Barnoldswick and elsewhere.”
Pendle MP Andrew Stephenson said: “Neil Mernock did an awful lot for Silentnight so I am sad to see him go.”
US-owned HIG took over Silentnight last month.
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