Dundee manufacturer JTC Furniture has written to employees warning it may need to make job cuts after a market-wide downturn in demand.

Privately owned JTC is a major supplier of fitted furniture to the contract market, but in letters to employees has cautioned that public sector funding cuts was prompting the need for more restructuring.

Local press reports suggest that over 100 workers are at risk of being made redundant. Average staff numbers at the time of JTC’s last filed accounts (2013) totalled 319.

Dundee’s Evening Telegraph reported that JTC — based at Camperdown Works at Harrison Road — had been a customer of the collapsed construction firm Muirfield Contracts, which ceased trading in March.

Profits have declined sharply for its main trading company in recent years, with successive falls to a low of £92k in 2013, from £2.7m back in 2009. Revenue in that period has dropped from £28m to just under £24m.

Recent years’ accounts highlight the business having gone through some restructuring and reorganisation work in the past couple of years, with its holding company writing down the value of investment by more than £4m in 2012.