Beanz production toast as workers announce further strikes at hypocrite Heinz

20 December 2010

Two further days of strike action will hit production of beans and soup at Heinz flagship Kitt Green plant in Wigan before the end of the year, Unite the union has announced today (Monday). A one-day stoppage last week saw two million cans lost from production at the site.

Around 1,200 workers will again walk out from 06:00 hours on Tuesday 21 December  until 06:00 hours on Wednesday 22 December with a further walkout expected before the year is out as the workers fight for fair pay. Heinz, which saw its profits margin expand to 37 per cent this year, is refusing to budge on its offer of 3.3 per cent this year and 3 per cent in 2011, well below the cost of living which is running at 4.7 per cent.

Unite has reiterated to management that it stands ready to talk to the company at any time about solving the dispute but warns that fury is deepening among the workers over the company's attempts to paint them as greedy in the current austere climate.  According to Jennie Formby, Unite national officer for food and drink, the food giant is guilty of hypocrisy: "The company is shamefully trying to smear this workforce as grasping for more cash even though year on year they have worked extremely hard to deliver whacking great profits for Heinz. 

"With Heinz's profit margins extremely healthy at 37 per cent, the workers rightly feel that the company is vastly wealthy and can easily afford to help them meet the spiralling costs of living.  Heinz's refusal to do so is made worse when they continue to shower rewards on managers and the shareholders.  The hypocrisy of 15 per cent bonuses for well-paid managers but wage freezes for ordinary workers is staggering.  Heinz workers are not being greedy - they just want fairness."

Unite is also angry that Heinz managers are falsely claiming that the workers will be receiving their fair share of the company's profits and challenges some of the company's recent statements as "deliberately misleading".

Jennie Formby continued: "Heinz has tried to pressurise their workers by getting Jaap Wilbers, a vice president at the plant, to write to the workers at their homes.  This attempt to intimidate them out of taking strike action has backfired because the workers are not buying the deal he is selling, as could be seen by the picket lines earlier this week. 

"90 percent of workers voted to strike after rejecting this deal. Mr Wilbers and the Heinz management team would be better advised to pay heed to this unified call, to stop peddling half-truths and sit down with us to work out a just settlement to this dispute."

Setting the record straight, Unite says that: 

  • While the company asserts management bonuses have been cut by 20 per cent, some are still boasting about receiving a whopping 15 per cent bonus – so even though down from what must have been an unbelievable 35 percent, this is still equivalent to a staggering 7.8 weeks' pay extra.  
  • The workers’ average bonus will now be less than 4 per cent, a fall of 2 per cent from last year and considerably lower than the average bonus over recent years.
  • The 3.3 per cent offer for this year is considerably below RPI at the anniversary of the deal, which was 4.8 per cent. RPI has fluctuated since then, going above 5 per cent at one point and now stands at 4.7 per cent. 
  • Capping next year’s deal at 3 per cent will again see a reduction in real terms as inflation forecasts for 2011 is forecast to reach 4.1 per cent if not higher
  • The supposed `improvement' to healthcare is compulsory and comes at a cost to the workers of over £1.00 more a week - £52 per year. This is a far worse deal than they could get it as a private individual over the internet. 


ENDS

For further information, please contact Pauline Doyle on 0797 832 861 or Jennie Formby on 07702 206 436

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