Princes may need to cut jobs in the UK if strikes at the manufacturer’s sites continue, the food-and-drinks group has warned.
The canned-food group is in a long-running dispute with UK union Unite over pay. Staff at five UK facilities took part in industrial action in December and January.
Princes has struck a pay deal with another trade union, GMB, but talks with Unite have ceased without agreement.
Workers at three Princes sites are set to down tools again next month and the company’s chairman has issued a warning about the potential impact on jobs if the strikes continue.
“Should Unite confirm the strike schedule for February, Princes will be forced to withdraw the 3% offer. Furthermore, we will be compelled to transfer part of our branded production to other facilities, including those abroad,” Angelo Mastrolia, who is also the president of the company’s Italian owner Newlat, said.
“If the strike action continues, this will likely become a necessary choice for the future, which could mean a need to reduce jobs at our UK sites. This is a very real risk, which benefits neither the workers nor the company.”
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By GlobalData
Unite argues Newlat has rescinded a higher pay proposal put forward by Princes before the £700m ($869.2m) sale of the business last year.
According to Unite, staff had been offered a 4-7% pay rise dependent on salary by Princes’ previous owner, Japanese conglomerate Mitsubishi. Princes’ new owner has proposed a 3% rise.
The union told Just Food workers at Princes’ site in Wisbech will hold eight days of strikes across a period from 1 to 12 February. Strikes are also scheduled at the company’s facility in Long Sutton for four days next month. A third site in Bradford will see action on 3 and 4 February.
Unite said it is willing to restart talks if Princes come to the table with an improved offer.
In a statement, Unite general secretary Sharon Graham said: “If Princes thinks its threats will weaken workers’ resolve it has another thing coming. This is appalling behaviour from a shameful company. First it pulled the rug from under our members by reneging on a pay deal and now it is threatening their jobs with these union-busting tactics. Unite won’t stand for such tactics and will be backing our members every step of the way in their dispute.”
