By Stefan Morkis

A DUNDEE pharmaceutical company is to shed a third of its workforce over the next two years.

Vericore Ltd, based at Dunsinane Industrial Estate, manufactures medicines for animals and currently employs around 90 members of staff.

A spokesman for parent company Novartis UK confirmed that 30 jobs are expected to be lost at their Dundee factory by the end of 2009.

He said the business has to be “streamlined” for it to remain competitive and it is hoped that many of the jobs will be cut through natural wastage.

He said, “In order to continue to operate in a competitive business environment and to streamline our animal health portfolio, we are proposing to restructure our Vericore animal health products facility in Dundee.

“It is proposed that head-count maybe reduced by up to one third over the next two years.

“A working party which comprises members of the staff consultative council will decide how and when the restructuring will take place and it is expected that plans will be ready by the end of the first quarter this year.

“Employees have been informed of the proposal and we will be working closely with employees and their representatives through consultations.

“We continually assess our facilities to ensure they are efficient, support our strategic plan and contribute to our ability to be effective in a highly competitive industry.”

He added, “The dynamics of the healthcare industry have dramatically shifted and today the pharmaceutical market faces new challenges—risk-averse regulators, increased generics competition and increasing pressures for cost containment.”

Vericore Ltd changed its name from Grampian Pharmaceuticals in 1999.

The job cuts are yet another blow for Dundee, which has seen more than a 1000 manufacturing sector job losses over the past two years.

Dundee and Angus Chamber of Commerce president Gary Langlands said last night he hoped the cuts were not the tip of the iceberg that would eventually see the factory close with the loss of a further 60 jobs.

He said, “We are obviously saddened to hear there are yet another 30 manufacturing jobs to go in Dundee.

“It would be helpful to understand what is happening to these jobs. Is it as a result of investment in terms of automation (of the factory) or are the jobs going to less expensive parts of the world?

“Novartis has a worldwide network of production sites and it certainly would be worthwhile gaining more of an understanding as to why these 30 jobs are going.”