Union leaders say strikes are set to escalate at Princes Food – including factories at Wisbech and Long Sutton – “after the company failed to come back to the negotiating table with an improved offer after Christmas”.
Trade union Unite says industrial action has already taken place at the company’s Cardiff factory but strikes at factories across the country will see hundreds of Unite members head to the picket line this month.
In Wisbech a 3 day strike began yesterday (Wednesday) and a further 3 day strike is planned from January 16.
At Long Sutton workers are striking today and will do so again next week on January 14 and 16.
Princes Foods make dozens of household name products, such as Branston and Crosse & Blackwell, as well as their own brand tins and jars of meat and fish.
“The strikes are likely to lead to shortages in supermarkets and shops across the country,” said a Unite spokesperson.
“Unite members are taking industrial action after having seen previous pay offers revoked by new owners.
“Unite’s members, who work as line operatives and engineers, had been offered between a four and seven per cent pay rise dependent on salary by the previous owner, Mitsubishi.
“The company was subsequently bought by Italian based multinational Newlat S.P.A, which withdrew that offer. Instead, it is offering just a three per cent pay rise.
Unite general secretary Sharon Graham said: “Newlat need to get back round the negotiating table before its customers discover they won’t have any products on their shelves. Our members work in back-breaking roles on low pay and want a fair slice of the pie.
“Newlat make 20 per cent of all their revenues in the UK and are making money off the backs of these workers. Yet they want to shortchange our members. Unite won’t stand for such behaviour and back our members 100 per cent.”
In its latest half year financial reports, the Newlat Group expects to achieve sales of 2.8 billion euros during this financial year with profits of approximately 188 million euros.
Unite national officer for food, drink and agriculture, Paul Travers, said: “Newlat borrowed huge sums of money to buy Princes and is now looking to cut corners and penny pinch to pay that money back. Unite won’t let them do so with our members’ livelihoods.
“Newlat can avoid this strike, which is one of their own making, by coming back to the negotiating table with a new and improved pay deal for our members.”
Angelo Mastrolia, chairman of Princes’ board of directors, acknowledged resolving the dispute was “becoming more difficult” despite “several months” of negotiations.
The supplier, however, rejected claims by Unite that strike action was “likely to lead to shortages in supermarkets and shops across the country”.
The company said: “All affected sites have contingency plans in place and maintain adequate stock levels as a standard practice.
“Daily dialogues with customers regarding availability, production, and transportation continue as usual, and there are currently no significant impacts on our product availability.”
Princes describe its 3% offer as “fair and reasonable, following substantial increments granted in previous years”.
“At this time, a higher pay offer is not feasible without jeopardising price competitiveness for our customers and the long-term success of the company”.
