PAVING stone supplier Marshalls warned of further job cuts as it reported a £10m hit from the wash-out weather.

The Birkby-based group said some of its 2,300 employees would be affected by plans to save £4m a year as part of efforts to tackle sliding sales.

Marshalls, which has operations at Elland and Brighouse, said sales to the home improvement market slumped by 14% in the second quarter – usually a key trading period for the group – after record rainfall led to projects being put on hold.

Overall revenues in the six months to June 30 were 5% down on a year earlier at £167m following the second quarter knock.

Marshalls, which makes stone and concrete products for the construction, domestic and landscaping markets, is reshaping the business to cut costs – with £1m in savings due by the end of 2012.

Chief executive Graham Holden said all areas of the business were being looked at to make cost savings.

Job losses are expected to affect only a “small percentage” of its workforce, he added.

Thirty jobs are set to go at Huddersfield-based paving company Marshalls plc.

The trading update comes just weeks after Marshalls revealed it is in talks with unions about proposed changes to shift patterns which are likely to mean the loss of 30 jobs at the group’s West Lane site in Southowram due to reduced demand.