Almost a third of the workforce at Guiseley-based pram and pushchair specialist Silver Cross is to axed, it has been revealed.

Chairman and managing director Harry Moore spoke to employees on the shop floor of the Otley Road factory to tell them of the decision, which will result in about 40 redundancies.

Most of the losses will be compulsory, although there will be a few voluntary redundancies.

Mr Moore today stressed that the firm would continue to work from its Guiseley factory. The firm had previously warned Leeds Council that a decision to stay in Guiseley depended on the sale of freehold land for housing.

He said the company, which once made prams for Royalty, was undergoing a major re-organisation which involved putting out work previously carried out in the factory to other firms.

The announcement, which will leave the company with just over 100 employees, comes just a few months after the firm's £4 million re-launch and less than five months since 50 jobs were shed. Forty jobs were previously lost in September 1997.

Mr Moore added: "Silver Cross is now in the final stages of its re-structuring."

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