UK: EU rules blamed for Tate & Lyle Sugars job cuts
Tate & Lyle Sugars has entered into a consultation over the reorganisation of its UK operations, which will result in 30 job cuts.
The US-based firm told just-food today (15 February) that its sugar refinery on the Thames at Silvertown is operating at 60% capacity due to new EU restrictions on sourcing raw materials.
"For about the last year to 18 months, we have only been operating at 60% capacity, which is an ongoing issue due to European Commission laws over fair access to raw materials," the spokesperson said. "As a result of this we only have capacity for around 240 days per year. We have been forced to align our levels of production."
As a result, the spokesperson said it entered into a 90-day consultation with staff last week over the reorganisation of shift patterns.
"We are looking to move from three shifts per day seven days per week, to two shifts per day five days per week. This will require us removing 30 positions," he said.
Tate and Lyle Sugars said the move is "entirely due to the constraints on our raw material supply".
"We are taking steps to address this directly with the Commission but in the meantime must look to align our production workforce to the reduced volume of raw material," said Tate & Lyle Sugars president Ian Bacon. "We remain highly concerned that the European Commission is not taking steps to remove the artificial constraints on our raw material supply and to create a fair market in Europe."
Arla Foods revealed 250 jobs could be cut as it drives efficiency and tries to keep pace with its international competitors - and admitted more could be made. The race to buy frozen food giant Iglo Gr...
The European Commission, after six years of work, has published a list of 222 health claims that can be made on food labels and advertising when products are sold in the EU....
- Analysis: Is Heinz, Kraft merger "a growth story"?
- The challenges awaiting ConAgra's new CEO
- Focus: Can Mars gain share in Indian chocolate?
- Why Heinz-Kraft merger could herald more deals
- The challenge of digital marketing and ROI
- Fatal explosion at French desserts firm Senagral
- UPDATE: Heinz, Kraft strike merger agreement
- Infographic: Heinz, Kraft unveil combined business
- ConAgra confirms another private-label charge
- Buffett: Kraft Heinz to withstand health focus