Unilever will press ahead with plans to restructure its ice cream business in France, despite workers holding a company director hostage at one of the company’s plants.
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French police were yesterday (15 January) called to free Prakash Patel, plant director at Unilever’s Cogesal-Miko site in St. Dizier, who had been held captive in his office on Monday night.
Workers, angry over planned job cuts at the ice cream factory, refused to allow Patel to leave, forcing police to storm the facility. Patel was unharmed but seven workers were slightly injured in the operation.
Unilever is standing firm and told just-food there would be “no change” to its plans to streamline its Cogesal-Miko ice cream business in France.
“There will be no change in strategy,” a spokesperson for Unilever France said. “In order to keep Miko at St. Dizier, we need to focus on products with potential.”
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By GlobalDataUnilever’s plans will affect 254 employees at the St. Dizier site. The Anglo-Dutch conglomerate, which has been busy restructuring its business in Western Europe, wants the plant to focus on brands including Carte d’Or and Frusi, which are enjoying rising sales in France.
The spokesperson condemned the workers who had held Patel office and said the company would be meeting with union officials tomorrow.
“It is a very difficult situation but what was done was illegal and fully disagree with the way the workers acted,” she said. “We are keen to restart our dialogue [with the workers] and there will be a meeting tomorrow.”
Unilever insists that growing competition from private-label products has hit Cogesal-Miko’s recent sales in Western Europe.
The consumer goods giant plans to inject an extra EUR4m (US$5.9m) into the business as it switches focus to brands like Carte d’Or.
