Diageo accused of race to the bottom

 Unite has confirmed today (Friday 13 January) workers based at whisky giant Diageo’s plant in Leven are set to strike in a dispute over pay.

The strike action will begin tomorrow (Saturday 14 January) for a period of 48 hours only with a series of further stoppages then scheduled to take place ending on 3 April (Notes to Editor).

Unite has taken the whisky giant to task following the introduction of a lower rate of pay for new starts without consultation with the unions. This issue has been ongoing and was first raised through the grievance process in 2019.

The trade union estimates some of its engineering members are set to lose around 6 per cent of their pay when moved to the lower rate of pay.

The strike action will directly impact on the engineering support for the bottling plant. Unite believes it would not be safe to run the plant without the support its members provide.

In July 2022, Diageo reported operating profits were up by 18.2 per cent to £4.4bn, primarily driven by organic growth, with net sales up 21.4 per cent to £15.5bn. The company has an estimated 27,987 employees.

Unite general secretary, Sharon Graham said: “Diageo recently recorded £4.4bn in profits which equates to a profit of around £157,000 being generated by every employee. They are awash with billions in profit so to then attempt to cut our members’ pay is a shocking example of corporate greed. Unite will always stand with our members to protect pay, terms and conditions.”

Diageo produces a number of high profile brands including Johnnie Walker, Crown Royal, J&B, Buchanan’s and Windsor whiskies, Smirnoff, Cîroc and Ketel One vodkas, Captain Morgan, Baileys, Don Julio, Tanqueray and Guinness.

Unite regional officer Bob Macgregor added: “Diageo is one of the most profitable companies in the UK yet they are proposing to cut our members’ pay which is completely unacceptable. The reason why Diageo is able to generate billions in profits is because of the skilled work of its workforce. Our engineering members who keep the bottling plant safe to operate at Leven have been left with no choice but to take a stand against Diageo. The strike action will continue until they get what they deserve.”

ENDS

 

Notes to Editors

Full strike action schedule:

 

  • Commencing at 07:00 hours on 14th January 2023 and continuing up to 16th January 2023 when the action will conclude at 06:59 hours;
  • Commencing at 07:00 hours on 21st January 2023 and continuing up to 23rd January 2023 when the action will conclude at 06:59 hours;
  • Commencing at 19:00 hours on 27th January 2023 and continuing up to 30th January 2023 when the action will conclude at 06:59 hours;
  • Commencing at 19:00 hours on 3rd February 2023 and continuing up to 6th February 2023 when the action will conclude at 06:59 hours;
  • Commencing at 19:00 hours on 10th February 2023 and continuing up to 13th February 2023 when the action will conclude at 06:59 hours;
  • Commencing at 19:00 hours on 17th February 2023 and continuing up to 20th February 2023 when the action will conclude at 06:59 hours;
  • Commencing at 19:00 hours on 24th February 2023 and continuing up to 27th February 2023 when the action will conclude at 06:59 hours;
  • Commencing at 19:00 hours on 3rd March 2023 and continuing up to 6th March 2023 when the action will conclude at 06:59 hours;
  • Commencing at 19:00 hours on 10th March 2023 and continuing up to 13th March 2023 when the action will conclude at 06:59 hours;
  • Commencing at 19:00 hours on 17th March 2023 and continuing up to 20th March 2023 when the action will conclude at 06:59 hours;
  • Commencing at 19:00 hours on 24th March 2023 and continuing up to 27th March 2023 when the action will conclude at 06:59 hours;
  • Commencing at 19:00 hours on 31st March 2023 and continuing up to 3rd April 2023 when the action will conclude at 06:59 hours