CHOCOLATE and confectionery firm Nestl Rowntree is to shed 220 jobs at its York factory.

A range of managerial, supervisory and technical support staff were told yesterday they were to be made redundant from the Wigginton Road plant.

The posts will go gradually during the next 18 months, factory manager Ian Jobson told staff.

The job cuts fly in the face of the performance of the Swiss-owned company.

The firm, whose products include Nescafe and Kit Kat, yesterday told the City that it was on course for more favourable trading conditions for the rest of the year after announcing solid sales growth in the first half of the year.

Nestle, the world's largest foodmaker, said its broad geographic spread and product diversity meant it was well placed to take advantage of any economic recovery.

The company said most of its product groups had contributed to a sales uplift of 5.5 per cent in the first half, with instant coffees, chilled food and water showing "excellent progress".

But sales of chocolate, confectionery and pet care products were not as strong and failed to match up to the overall growth trend.

Shoppers have trimmed spending amid the uncertain world economic outlook, which has dampened sales for consumer goods companies.

Another 40 jobs are affected at Nestl's Halifax and Castleford factories, but the brunt of the losses will be borne at York, where more than 2,300 people work.

Representatives of the main unions affected - the GMB, representing process workers, and Amicus, which looks after the interests of engineering and craft workers, were also informed yesterday.

Deborah Tilley, senior spokeswoman for Nestl UK, said: "In order that the Nestl business remains competitive and our employees' long-term job security is protected, it is necessary to continually review our manufacturing and production costs.

"In March 2003, we announced such a review, which is now complete. As a result of this review we are proposing to make a number of changes to our York factory.

"These proposed changes are subject to consultation, which will take place over the next 18 months, and would involve a number of departments being centralised, and a series of job changes, which would, regrettably, affect around 220 jobs at York."

She said that there would be consultation with employees and a telephone advice line set up to answer employees' questions.