Princes chairman warns of ‘very real risk’ to jobs if union action continues

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Princes’ chairman has criticised Unite the Union’s “extremely harmful” approach to an ongoing pay dispute at several of the company’s UK food and drink manufacturing sites, warning that the actions are putting jobs “at risk”.

While the tuna giant reached a mutual agreement with GMB Union for a 3% pay increase for members across two of its sites earlier this week, Princes confirmed that talks with Unite ended in December after both sides acknowledged they had failed to reach an agreement, despite the offer of a 3% pay increase.

Chairman Angelo Mastrolia said that Unite’s ongoing strike action could have a “hugely detrimental impact on the members it claims to represent, as well as our non-unionised colleagues across the UK”.


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“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, and 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.”

Mastrolia claimed that the 3% pay offer, which is above the current rate of inflation, is “fair and reasonable” following “substantial” above-inflation pay increases over the past five years, including an 8% rise in 2023, 7% in 2022 alongside a one-off cost of living payment of 4.1%, and 2.5% in 2021.

He added: “We fully understand our responsibility to care for our colleagues, but we have an equal obligation to ensure the long-term sustainability of Princes by focusing on cost management and being a competitive supplier for our customers and the end consumer.”

It comes as Princes continues to face “extremely challenging” economic conditions and rising employer costs.

Changes to the Living Wage will add approximately £1,800 per full-time employee in 2024, with further employment cost increases anticipated in the next twelve months, such as the rise in Employer National Insurance contributions.

The company said it is also facing growing competition and pricing pressures that “must be factored into its financial outlook”.

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1 Comment. Leave new

  • Richard Baker 1 year ago

    Given the high increases in pay granted to Princes customers, supermarkets, from 5-9% who can blame them for asking for a little more.

    Reply

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Princes chairman warns of ‘very real risk’ to jobs if union action continues

Princes product range

Princes’ chairman has criticised Unite the Union’s “extremely harmful” approach to an ongoing pay dispute at several of the company’s UK food and drink manufacturing sites, warning that the actions are putting jobs “at risk”.

While the tuna giant reached a mutual agreement with GMB Union for a 3% pay increase for members across two of its sites earlier this week, Princes confirmed that talks with Unite ended in December after both sides acknowledged they had failed to reach an agreement, despite the offer of a 3% pay increase.

Chairman Angelo Mastrolia said that Unite’s ongoing strike action could have a “hugely detrimental impact on the members it claims to represent, as well as our non-unionised colleagues across the UK”.


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Sign up here to get the latest grocery and food news each morning


“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, and 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.”

Mastrolia claimed that the 3% pay offer, which is above the current rate of inflation, is “fair and reasonable” following “substantial” above-inflation pay increases over the past five years, including an 8% rise in 2023, 7% in 2022 alongside a one-off cost of living payment of 4.1%, and 2.5% in 2021.

He added: “We fully understand our responsibility to care for our colleagues, but we have an equal obligation to ensure the long-term sustainability of Princes by focusing on cost management and being a competitive supplier for our customers and the end consumer.”

It comes as Princes continues to face “extremely challenging” economic conditions and rising employer costs.

Changes to the Living Wage will add approximately £1,800 per full-time employee in 2024, with further employment cost increases anticipated in the next twelve months, such as the rise in Employer National Insurance contributions.

The company said it is also facing growing competition and pricing pressures that “must be factored into its financial outlook”.

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1 Comment. Leave new

  • Richard Baker 1 year ago

    Given the high increases in pay granted to Princes customers, supermarkets, from 5-9% who can blame them for asking for a little more.

    Reply

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Your email address will not be published. Required fields are marked *

Fill out this field
Fill out this field
Please enter a valid email address.

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