GOLDSTOCK ADDRESSES: GOLDSTILLs gold price has fallen by around 20% from its peak in mid-March, but the stock market has had its ups and downs.
The price of gold has fallen from a peak of $1,330 an ounce to $1.3,300, but that has not been enough to save the Goldsmith Group.
The loss of the 70 jobs is a big blow for Goldsmith, which has about 4,000 employees in Scotland and is based in Gilt Edge Silverberry, the UK’s largest gold producer.
Goldsmiths, which is based near Edinburgh, said in a statement it was “in discussions with the appropriate authorities and is taking this very seriously”.
It added that the company would continue to provide support to staff.
The company also confirmed that it had put up a notice of appeal, saying it was considering an offer to the Government of the UK.
The company is in discussions with authorities about an offer of a further one year for the employment of 70 staff from GiltEdge Silverberry and other Goldsmith facilities, it said.
Goldsmith’s decision to cut 70 jobs came after the price of silver fell below $1 an ounce, while gold was trading above $1k per ounce, and gold futures were trading around $1 per ounce.
However, it had warned that the fall in the price would cause a “material adverse impact” on the Gold Smiths gold and silver operations.
GoldSmiths has 1,400 staff in Scotland.