Troubled mail order firm Freeman Grattan Holdings is seeking to cut another 160 jobs in Bradford.

It is the second major jobs blow at the firm which in January said it was closing its Bradford call centre at a cost of up to 800 jobs.

Staff were told last week that consultations would begin with employee representatives about the future of its giant Listerhills distribution centre which employs about 700 people.

The move follows a decision to switch the sourcing of all clothing and fashion products from Germany, which has already led to the closure of the firm’s London office.

Meanwhile, the German-owned company has postponed the transfer of its Bradford call centre operations to Sheffield until the end of the year.

Originally scheduled for the end of July, the delay provides a temporary reprieve for workers affected by the planned Bradford closure.

In January Andy Roe, chief operating officer in Bradford, announced that about 1,000 jobs were to go in the city as part of plans to get the struggling company back on its feet. At the time of the announcement Freeman Grattan Holdings employed 2,500 in Bradford out of a UK total workforce of 3,800.

Consultations have been taking place between local management, union officials and staff representatives during which plans to focus the UK customer contact operations at a more modern call centre in Sheffield were confirmed.

A company spokesman told the T&A: “The decision to source all fashion and clothing from Germany has resulted in the closure of the London office.

“It has been announced to staff in Bradford that a period of consultation has been launched to consider the impact of this sourcing decision on the Listerhills distribution centre.

“No redundancy notices have been issued and consultations are being held about a potential reduction of 160 posts from a total workforce at Listerhills of around 700.

“No decisions have yet been reached about the sourcing of other products such as white goods.”

Otto said last year that the FGH head office will remain in Bradford and that the city would remain central to its business. The Ingleby Road, Lidget Green, site includes the Grattan, Freemans and Kaleidoscope shopping catalogues.

The group is reviewing its UK operations to try to make the business profitable by the end of 2010 and to meet changing shopping patterns. These have seen a major soft from mail order to online buying where sales have risen from 15 per cent to 50 per cent in the past three years. The retail downturn had also hit the business.

Grattan was founded in 1912 in Manchester Road by Enrico Fattorini, part of the family that also formed the rival Empire Stores.

Grattan’s owners since 1991, are the German-based Otto Group.

At its peak the firm employed about 5,000 people.