Nestlé confirms 474 job losses at its Fawdon UK site, as production moves to alternate sites

27/11/17 Nestlé's factory at Fawdon, Newcastle Upon Tyne. All Rights Reserved F Stop Press Ltd. +44 (0)1335 344240 +44 (0)7765 242650 www.fstoppress.com

Nestlé has confirmed its intended plans to close its Fawdon UK production site, with the loss of 474 jobs, moving operations to other British locations, as well as a limited amount to European sites, reports Neill Barston.

The company first unveiled its proposals earlier last year, as the business looked to restructure some of its operations amid challenging market conditions for food manufacturing amid the pandemic.

However, industry unions have reacted strongly to the decision, believing that the Fawdon plant had been productive, and that alternatives could have been found to the closure.

Responding to concerns, the business confirmed that it would be maintaining a significant portion of British manufacturing at an alternative site, Halifax West Yorkshire, with a smaller portion set to be produced in the Czech Republic. As the company noted, a number of its lines (including Smarties) are already produced in mainland Europe, including its Smarties lines, which are now made in Hamburg.

Commenting on the job losses, Ross Murdoch, GMB National Officer, said: “Closing this profit-making site and shifting production to Europe is completely unacceptable.

“This will have a devastating impact on workers and their families. “Meanwhile transporting finished products from sites in Europe back to the UK – where they are consumed – will result in significant additional road and sea miles increasing pollution and environmental damage.

“GMB and Unite will now speak to members in Fawdon and find out what they want to do next. We will give them whatever support and resources they need to fight this.”

Joe Clarke, National Officer Unite the Union, said: “Unite and its membership are bitterly disappointed that alternative proposals to keep the site within Nestle Fawdon open have been rejected. We are currently seeking further information in relation to the proposal, and we will enter into dialogue on next steps imminently.”

A spokesperson for Nestlé said that its consultation is still ongoing. The company issued a statement on its position that confirmed that it is seeking to support its employee base in managing its restructuring move.

The company said: “The consultation around the changes we proposed in April 2021 is still ongoing. We said from the outset that we wanted to provide adequate time and space for these discussions and it is only right that they are held directly with our employees and Trade Unions and not in public. It remains a priority to support our people and their families through this process and we thank everybody for their patience. We will provide an update once the consultation is complete.”

 

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