More than 300 workers at the Scottish confectioner’s primary facility will now see their basic pay increase by 9.6% over 21 months, according to Unite the Union.
The improved pay offer was secured after workers agreed to remove the threat of potential strike action.
The agreement will increase basic pay from £13 per hour to £13.61 from 1 July 2026, before rising to £14.25 from 1 April 2027.
Unite said Tunnock’s workers had “overwhelmingly backed” strike action, which resulted in the manufacturer making an enhanced pay offer that was subsequently backed by a majority of members.
The Tunnock’s plant in Uddingston was founded in 1890 and is best known for producing confectionery products including Teacakes and Caramel Wafers.
Unite general secretary Sharon Graham said: “This is a significant victory for Tunnock’s workers who, by being prepared to take strike action, secured a greatly improved pay offer.”
The agreement comes ahead of a planned expansion of the facility after the company submitted plans to Glasgow City Council in April, anticipating “increased worldwide demand”.
Tunnock’s said the expansion would help secure the future of the 534 roles on-site, but would not create any additional positions.
The historic firm has been particularly hard hit by soaring global cocoa prices, with its most recent results revealing an 80% drop in pre-tax profits.
Unite industrial officer Debbie Hutchings added: “Tunnock’s returned to the negotiating table after our members stood firm and refused to swallow unacceptable pay offers from the company.
“The deal backed by our members builds on the recent progress made at Tunnock’s which has improved the jobs, pay and conditions of the workforce.”
