Castle Bromwich-based Tandem Group had made a number of staff redundant, BikeBiz has learned. Tandem is the owner of the Dawes and Claud Butler marques, and is also a supplier of leisire products. In a trading statement issued two months ago Tandem’s chairman said Brexit had resulted in a "challenging environment" for the business.
The staff laid off include four on-the-road reps, two telesales staff, a designer and a credit controller.
"It has been a particularly challenging period for the UK leisure cycling market," said Tandem chairman MPJ Keene in a company statement issued at the end of September.
He added: "The challenging environment has also been exacerbated by the weakness in sterling following the outcome of the EU Referendum vote. Although we hedge a proportion of our future US dollar requirement, we have had no alternative but to increase prices to mitigate this impact."
In the six months to 30th June 2016 Tandem’s revenue increased by approximately 10 percent to £17,115,000 compared to £15,585,000 in the six months to 30 June 2015., but operating profit was down by £264,000 to £500,000. The bicycle part is the least profitable part of the Tandem business.