Cadbury Schweppes was due to meet the UK’s largest trade union today (12 November) after workers at four plants voted in favour of a ballot on strike action over the closure of a site in the country.
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Cadbury, the world’s largest confectioner, is facing fierce opposition to its plans to close its Keynsham chocolate factory by 2010, a move that will affect 500 employees.
Cadbury workers have already held protests against the move and employees at four plants have now approved a ballot on strike action.
“Cadbury’s pride themselves on being a company which listens to its consumers, shareholders and the City. This vote shows it must listen to its workforce too,” said Brian Revell, national organiser for food and agriculture at the Unite trade union.
“Cadbury’s board is acting against the company’s character by supporting shareholder greed. They are making the wrong decision on business, environmental and community grounds.”
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By GlobalDataUnite said Cadbury’s failure to sell its US drinks business had led the company to need to streamline its UK business. Last month, Cadbury said it would spin off its US drinks arm having failed to find a buyer for the company.
Cadbury flagged plans to streamline its business worldwide in June in a bid to boost margins. Cadbury said it would axe 15% of its workforce as part of a global cost-cutting drive that it hopes will reshape the business.
The company also plans to close 15% of its manufacturing facilities around the world over the next four years.
As part of its plans to close the Keynsham site, some 200 jobs at Cadbury’s flagship Bournville site will be transferred to Poland. Cadbury, however, has insisted the restructuring would see the Bournville facility get some GBP40m (US$82.5m) of investment as chocolate production switches from Keynsham to the Midlands site.
