European unions rallied to stop Nestlé exporting jobs in York
The International Union of Food Workers (IUF) has challenged Nestlé's proposal to switch production of key lines from its York factory to other sites in Europe, with the loss of 645 jobs. Earlier this year, Nestlé announced an initial cut of more than 200 jobs in York.
The IUF has written to Nestlé saying there will be "no cooperation" over the transfer of profitable brands from a Nestlé plant in one country to another at the expense of jobs, claimed the GMB union organiser John Kirk.
"We are looking to our trade union colleagues in Europe to refuse to cooperate with this move, which has not got GMB agreement," he said.
Kirk rejected Nestlé's explanation that switching production of Black Magic to the Czech Republic, Smarties to Germany and Dairy Box to Spain was necessary because the plant and buildings at York were old and uneconomic.
"Nestlé failed to invest adequately in the plant and building in York. To use this neglect as the reason to move heritage brands to plants overseas where Nestlé did invest is not acceptable," said Kirk.
Nestlé's decision to terminate existing terms and conditions of employment for the remaining 1,800 workers at the York site has also enraged the GMB, which had agreed in July to work with the firm to identify potential improvements in efficiencies, claimed Kirk. "We were happy to talk to them about more flexible working arrangements, but not if they have us over a barrel."
The GMB forced an emergency motion at last month's Labour Party conference in Manchester on the "crisis in food manufacturing", prompted by the Nestlé job cuts. It cited large job cuts at British Sugar, Birds Eye, Northern Foods and HP.
The Food and Drink Federation indicated that it would consider joining talks with the government, unions and others on the sector's structural problems.
Nestlé said a £20M investment in the part of the York factory that it is retaining demonstrated its commitment to the long-term future of confectionery production in York, which will still be home to KitKats, Aeros, Milkybars, Yorkies and Polos. The rest of the site will be sold.
Nestlé said: "The factory in York currently has high manufacturing costs and is not as efficient as other Nestlé confectionery factories in the UK and Europe."
The Labour MP for York, Hugh Bayley, said: "Although the UK is still attracting more inward investment than France and Germany, the government needs to set the economic framework that attracts multinational companies to invest in the UK."
