UK: Kellogg looks to shed 140 jobs in UK

By Katy Askew | 20 January 2014

Kellogg set to shed UK jobs

Kellogg set to shed UK jobs

Kellogg plans to cut around 140 jobs at a UK manufacturing facility as part of moves to adjust its global production network.

A spokesperson for the cereal-to-snacks giant confirmed Kellogg initiated a 90-day consultation process with employees at its production facility in Wrexham on Friday (17 January).

"The consultation includes a proposed reduction of approximately 140 roles that the company hopes can be achieved through early retirement and voluntary redundancies. All available options will be carefully weighed up before any changes are implemented," the spokesperson said.

The move comes amid Kellogg's global drive to reduce costs across its manufacturing operations. In November, Kellogg announced it intends to cut 7% of its global workforce.

Since then, Kellogg has revealed plants in Australia and Canada will close.

Savings, the company suggested, would be reinvested in its core brands and expand in emerging markets as it attempts to reinvigorate its top line.

Kellogg has outlined plans to expand a facility in Thailand and open a snacks plant in Malaysia.

"We have a compelling business need to better align our assets with marketplace trends and customer requirements," said Chris Hood, president of Kellogg's European operations. "To that end, we are taking action to ensure our manufacturing network is operating the right number of plants and production lines - in the right locations - to better meet current and future production needs and the evolving needs of our customers."

Responding to the news, UK union Usdaw expressed "disappointment" at the job losses. The union, which represents Kellogg workers in Wrexham, said that it would use the 90-day consultation period to examine Kellogg's argument and seek alternative solutions.

"We will be interrogating the company's business case. Our priority will be to save jobs, maximise employment on the site and ensure that if any staff have to leave they do so on a voluntary or early retirement basis," Usdaw national officer Dave Gill said.

Sectors: Cereal, Snacks

Companies: Kellogg

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