Burton’s Foods, the UK biscuit maker behind brands including Maryland Cookies and the Cadbury’s biscuits range, is to give more time to union proposals on the company’s planned production revamp.
In January, Burton’s set out plans to close its biscuit factory in the UK town of Moreton, outsource chocolate refining at the site and invest in two more facilities – in Edinburgh and Llantarnam.
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Burton’s also laid out plans to implement flexible working at all its manufacturing sites and consolidate its “multi-site” Knowsley distribution operations into a single location.
In total, some 412 jobs were said to be under threat from the plans, including 342 at Moreton.
The company’s plans to close the Moreton facility have been met with fierce resistance from local unions, which have put forward alternative plans to what the biscuit maker has dubbed its “supply chain transformation programme”.
After discussions with the Unite union, Burton’s has decided to press ahead with plans to stop biscuit manufacturing at Moreton and switch production to Edinburgh and Llantarnam – moves that will result in 109 jobs being lost.
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By GlobalDataHowever, Unite said yesterday (19 April) that Burton’s has agreed to continue the consultation on the union’s plans to keep chocolate refining and seasonal assortment packing at Moreton until 16 May.
Unite said it was “disappointed” that Burton’s had decided to end production at Moreton but said its proposals were a “viable option” for the business and could see “a number of jobs kept at the site”.
“The loss of any job at the plant is difficult to accept because these are our friends and neighbours. But the lack of investment over the years and the loss of volume has made any counter proposal to maintain all the jobs on the Moreton site impossible,” Unite regional officer Ritchie James said.
“However, Unite’s counter proposal could provide a viable option and still sustain jobs for local people. It is our view that the union counter proposal provides a positive advantage on the key financial factors provided by the company. Unite has presented a case that on the key issues of cost versus benefits and it beats any other proposal on the table.”
Burton’s said Unite’s proposal contained some “innovative thinking”, which the company wanted more time to consider.
“There is some innovative thinking driving potential cost reduction, flexibility and enhanced capability in relation to the chocolate refinery and seasonal assortment packing that the company now wishes to take some further time to consider,” Burton’s said. “It is therefore proposed to extend the consultation period over the next four weeks, until 16 May on these elements only.”
The biscuit maker added: “The union proposal accepts the company proposal to cease biscuit manufacture and transfer production to Edinburgh and Llantarnam – resulting in 109 job losses, which are proposed to occur from October 2011 onwards. Consultation in relation to that aspect of the company’s proposal is therefore at an end, although consultation will continue regarding the consequent redundancies – including ways of minimising them and mitigating their consequences.”
