2 Sisters’ plan to axe 200 jobs at its Coupar Angus chicken processing plant in Perth and Kinross would be “absolutely devastating”, warns the Unite union.
News of 2 Sisters' 200 job cuts was received with disbelief and dismay in Scotland
Unite official Dougie Maguire described the move as a “stunning” development. “There has been no consultation with management or even a suggestion that cuts were in the pipeline,” he told BBC News. “It’s a stunning development and particularly so soon after the Vion buyout.”
2 Sisters has begun a 45-day consultation with the workforce at the site, which it acquired from Dutch-based multi-national meat producer Vion in March this year. The site employs 658 people and was making substantial losses, according to 2 Sisters.
In a statement, the firm said the cuts were part of “a rescue plan for Scotland” that will help secure the viability of the poultry industry and offer a better opportunity for growth and success.
‘This situation is unsustainable’
“Taking no action would put the future of our industry in Scotland at serious risk,” said the statement. “There is an oversupply of poultry in Scotland, which has historically been the least efficient manufacturing base. There is also evidence of a decline in the UK poultry market due to changes in consumer demand. This situation is unsustainable.”
The statement also confirmed that the company had found a buyer for its smaller chicken processing plant at Letham, near Forfar, in Angus. The buyer would be able to exploit new niche market opportunities, making the plant far more competitive, than at present.
2 Sisters pledged to work with staff to maintain a viable operation at the Coupar Angus site. The aim was to allow the manufacturer time to create “a more competitive environment”, as the firm prepared to strengthen Scottish sales and build demand for Scottish chicken.
Appealed for help
To achieving those objectives, the firm appealed for help from its staff, customers, the agricultural community and the Scottish government. “We can’t do this alone,” noted the statement. “We need their help to rescue this industry. These announcements today [November 20] will help secure our business for the longer term and put us in a stronger position for investing in the future when conditions are right.”
Scottish politicians reacted with dismay to news of the job cuts. Richard Lochhead, rural affairs secretary, said: “I am fully aware that there may be wider implications for Scotland’s poultry sector, and the various ancillary businesses that support the sector, following these developments and I will strive to do all I can to ensure any impact is minimal.
“I’ve already held discussions with Nigel Miller from the NFUS [National Farmers Union of Scotland] and will be looking to speak to other key industry figures in the coming days to discuss our plans going forward.”
John Swinney, cabinet secretary for finance, described 2 Sisters’ plans as “worrying”. He added: “This will be a particularly worrying time for the workforce and their families. I will be working with Scottish Enterprise, the company and unions over the next few weeks to minimise the effects of this decision.”
