The Municipality of Qeqertalik has held an extraordinary municipal council meeting with an extremely serious item on the agenda: The shredder factory threatened with closure.
It will cost the municipality a large million in lost revenue and increased expenses if Polar Seafood is forced to close the shrimp factory in Aasiaat, according to a statement that the municipal politicians in the Municipality of Qeqertalik have been presented with at the extraordinary municipal council meeting.
Direct impact
Roughly estimated, a closure will have the following direct economic impact:
But the calculation is far worse, it is pointed out.
- At the same time, the municipality will also be affected by the derived effects, the minutes state, mentioning the following:
Longer-term effect
In addition, a possible factory closure of the magnitude where 116 jobs are at stake could lead to relocation, which "all other things being equal could have a significant negative effect on the municipality's economy in the long term".
With the discouraging key figures in mind, the municipal council has drawn up a crisis plan, which in bullet form looks as follows:
Contact to the Greenland Government (urgent meeting and report)
Setting up a cross-political negotiation group
Impact assessment and contingency plan
Transparency and orientation