Scottish Diageo staff win improved redundancy package

Diageo workers in Scotland are claiming a victory - of sorts - after successfully lobbying the drinks giant to improve terms of redundancy packages for workers who will soon lose their jobs.

Around 900 workers stand to lose their jobs across Scotland following Diageo's decision to close certain plants, including the Johnnie Walker bottling facility in Kilmarnock, as part of a restructuring programme.

According to trade union Unite a campaign to get better terms has resulted in an increase in the amount to be paid to workers being made redundant from £4,000 to £9,000, and the removal of a previous clause that the payment be based on productivity and attendance.

Unite also said Diageo would allow part of the redundancy packages to be paid into worker's pension funds.

Workers at Diageo's Kilmarnock, Shieldhall and Port Dundas plants voted in favour of the new proposals by almost four to one, Unite said.

Jennie Formby, Unite's national officer for the food and drinks sector, said: "The final package is one that provides benefits for members that are second to none.

"But we firmly believe that without the courage and determination of the workers, and the excellent leadership of their union stewards, we would not have seen any movement from the company.

"The fighting spirit the workers demonstrated throughout the whole campaign let Diageo know that they simply could not walk away from these communities without fair and proper compensation."

In a statement Diageo said: "Through the well-established negotiation framework all the trades unions representing employees have recommended acceptance of the proposals.

"Last week GMB approved an offer and Unite has confirmed that - following a vote of the membership - the vast majority of the Diageo workforce has fully accepted the offer and the proposals.

"The agreement, which includes targeted voluntary redundancy, has been reached within the financial business case laid out in the original announcement."