Union members at an Intersnack plant in Germany are preparing to walk out over wage dispute.
According to a statement by the Food, Beverages and Catering Union (NGG), workers represented by the union will begin the 24-hour "warning strike" at the factory in Grevenbroich today (27 July) at 10:00 pm local time.
The move will halt production of chips and other snack products at the facility, the labour union said.
“The production lines will come to a standstill on Tuesday," NGG said.
The planned action follows what the union described as a “frustrating” offer from management, consisting of 2% wage hike and one-off payment of €156 ($177.55).
Intersnack declined to comment when approached by Just Food.
Ina Korte-Grimberg, the managing director for the local NGG Krefeld-Neuss region, called that proposal “a farce”.
She said employees are instead seeking a 5.8% pay rise or, alternatively, at least €230 more each month.
“What the employers have put on the table so far is already being eaten up by inflation,” she said.
The Grevenbroich plant employs just under 450 people.
A protest rally is due to take place at the factory tomorrow as workers continue pressing for improved conditions.
The action comes ahead of the upcoming negotiations with the Federal Association of the German Confectionery Industry (BDSI), scheduled for 13 August.
NGG said that if those talks fail to deliver progress, it will widen warning strikes across North Rhine-Westphalia.
“If the employers want it to hurt, then it will hurt. And it will hurt properly,” added Korte-Grimberg.
The labour dispute follows Intersnack's deal to take US snacks company Utz Brands private.
The companies disclosed the agreement in a joint statement issued on 21 July, valuing the owner of the Utz and Boulder Canyon brands at around $2.9bn.
They said the deal price was set at $14.25 per share, representing a 91% premium to Utz Brands’ closing share price on 20 July.
Once the transaction is completed, the family shareholders of New York-listed Utz Brands, the Rice and Lissette families, will hold 50%, with Intersnack owning the balance.
Intersnack is itself a family-owned private company and recorded sales of roughly $5bn last year.
The business operates in 31 countries across Europe, Asia, Australia and New Zealand.
Its brand portfolio includes funny-frisch, Chio, Tyrrells, Whole Earth and Hula Hoops.
