UK: Diageo Scottish pay-offs “much-improved” - union
Employers union Unite said yesterday (10 December) that Diageo agreed to increase the termination payments by GBP4,000 (US$6,520) to GBP9,000 per person, and to remove its previous conditions that the payment would be based on productivity and attendance.
"The union and the workers had been fighting for a fairer redundancy deal to compensate the hundreds of workers set to lose their jobs with the distillers as it forces through its restructuring plans next year," Unite said.
The drinks giant has also opened up the pension scheme to allow part of the packages to be paid in to workers' pension pots, Unite noted, "enhancing both the retirement lump sum and the pension".
Workers voted on the proposals in workplace ballots at the Kilmarnock, Shieldhall and Port Dundas plants. The offer was accepted by almost four to one.
In announcing the agreement with workers earlier this week, Diageo said: "The agreement, which includes targeted voluntary redundancy, has been reached within the financial business case laid out in the original announcement."
Jennie Formby, Unite national officer for the food and drinks sector, said yesterday: "Every site had a very clear majority to accept, with Kilmarnock as the largest site showing an 80% acceptance, which is a very clear endorsement of the proposals."
The union's campaign is now formally closed.
Diageo has launched an ad campaign for its Ciroc vodka brand for the US market featuring Sean "Diddy" Combs and an up-and-coming comedian....
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