Feeds

Nestlé shifts Smarties production to Germany

First the hexagonal tube, now this...

Security for virtualized datacentres

It's enough to have any true patriot choking into his or her beef pie of olde England: Nestlé has announced that it has decided to shift Smarties production from York to Hamburg, in the process axing 645 jobs at the Rowntree chocolate factory which it acquired in 1988.

According to The Guardian, the Swiss food and drink monolith declared it "had been forced to shut down the antiquated five-storey Victorian building at its plant in York and move production elsewhere in Europe to safeguard the remaining 1,800 jobs at the factory".

The Rowntree closure brings to an end 70 years of UK Smarties production, which began in York in 1937. To compound the outrage, Dairy Box production will be moved to Spain, while Black Magic will henceforth be a Czech Republic delicacy.

Nestlé UK chief exec, Alistair Sykes, said in a statement: "The UK confectionery market is extremely competitive and Nestlé Rowntree must therefore ensure its operations are cost effective."

Nestlé added it would invest £20m to improve production facilities at the Yorkshire plant - the company's biggest production facility. The old Rowntree factory faces demolition and replacement by "a development including residential units, allowing Nestlé to benefit from high house prices in York".

The GMB union called the announcement "a bleak day for York", and pledged to battle the lay-offs. The union's organiser for members in York, John Kirk, said: "Nestlé failed to invest adequately in the plant and building in York. To use this neglect as the reason to move heritage brands to plants overseas, where [it] did invest, is not acceptable."

City of York Labour MP Hugh Bayley was more pragmatic: "Manufacturing has to change to survive. If it doesn't change, more jobs would be lost." Regarding the imminent demise of the Rowntree factory, Bayley added: "It would be dreadful to be sentimental about an old building if it put jobs at risk."

Nestlé said it hoped the majority of the 645 workers for the chop would opt for voluntary redundancy or early retirement. ®

Providing a secure and efficient Helpdesk

More from The Register

next story
Facebook pays INFINITELY MORE UK corp tax than in 2012
Thanks for the £3k, Zuck. Doh! you're IN CREDIT. Guess not
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Sysadmin with EBOLA? Gartner's issued advice to debug your biz
Start hoarding cleaning supplies, analyst firm says, and assume your team will scatter
YARR! Pirates walk the plank: DMCA magnets sink in Google results
Spaffing copyrighted stuff over the web? No search ranking for you
Don't bother telling people if you lose their data, say Euro bods
You read that right – with the proviso that it's encrypted
Apple SILENCES Bose, YANKS headphones from stores
The, er, Beats go on after noise-cancelling spat
prev story

Whitepapers

Cloud and hybrid-cloud data protection for VMware
Learn how quick and easy it is to configure backups and perform restores for VMware environments.
A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Three 1TB solid state scorchers up for grabs
Big SSDs can be expensive but think big and think free because you could be the lucky winner of one of three 1TB Samsung SSD 840 EVO drives that we’re giving away worth over £300 apiece.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.