Nearly 160 jobs are at risk at the historic McVitie factory in Stockport, it was confirmed today. Pladis, the company behind McVitie’s, confirmed restructuring proposals at the factory in front of Wellington Road North ‘could potentially lead to the loss of 159 of 470 rolls’.
The union leaders called the news “devastating” and said it was a “third reduction in staff”. The company said there would be “full and meaningful consultation with employee representatives” and the union, Usdaw, said it would now enter into consultation talks with the company.
Pladis pointed to “external setbacks such as rising inflation, rising energy costs and supply chain disruptions that pushed up production costs.” Their statement, published today, refers to “a change in consumer demand”.
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Pladis also confirmed proposals to ‘restructure’ the factory ‘subject to a full and meaningful consultation with staff representatives’. “The proposal could potentially lead to the loss of 159 of 470 roles,” the company said.
“The proposal seeks to address the growing external backlog such as rising inflation, rising energy costs and supply chain disruptions that are pushing up production costs, at a time when business is facing a shift in consumer demand. .
“Manchester remains a critical part of Pladis’s operations in the UK, producing well-known branded products, but the factory’s business model is no longer sustainable and needs to be addressed as part of the proposed changes.”
(Image: Surrey Advertiser)
Dave Gill, Usdaw’s National Officer, said talks were taking place between the union and Pladis. Responding to the news, he said: “This is devastating news for our members, many of whom have long served the company and all worked in the pandemic when food production was identified as an essential service.
“We will now enter into meaningful consultation discussions with the company, where we will carry out their business case for these proposed job losses. Our priorities are to keep as many staff as possible in the business and to avoid mandatory redundancies. In the meantime, we are our members’ support. , Provide advice and representation they need during this difficult time. “
Nina Sparks, Vice President of Supply Chain Pladis UK & Ireland, said: “We understand that this news will be very difficult for those in Manchester. Our Manchester factory remains an important part of our UK business and our priority is now our colleagues provide clear guidance and the right support as we begin the proposed advisory process.
“Pladis is the proud depository of some of the most popular snack brands in the world and we strongly believe in their lasting consumer appeal. But, like many other businesses, we are struggling with new and growing external pressures. We must therefore review and consider appropriate steps to to protect the future of our entire business. “
(Image: SBA)
The news comes as another shock to employees who are still on the verge of closing down. The closure of the historic McVitie’s factory in Glasgow – with the loss of more than 450 jobs – was confirmed in October last year after a lengthy campaign.
Pladis has allocated “excess capacity” to other UK sites for closure in the Tollcross area of the city after almost 100 years of operation.
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