Type
Offshoring/Delocalisation
Country
United Kingdom
Region
West Midlands; West Midlands; Birmingham
Location of affected unit(s)
Aston
Sector
Manufacturing
Manufacture Of Food And Beverage
Manufacture Of Food Products
10.84 - Manufacture of condiments and seasonings
New offshoring locations
Netherlands

125 jobs
Number of planned job losses
Job loss
Announcement Date
9 May 2006
Employment effect (start)
Foreseen end date
31 March 2007

Description

The HP Foods factory in Birmingham is to close. Production of HP Sauce, the product produced at the factory, will move to Holland. About 125 jobs are expected to go at the Aston site in the move in March 2007, said its owners Heinz. The US firm, that bought HP Foods last year, said it would improve efficiency and productivity. Unions described the move as a 'savage decision'. The Transport and General Workers Union (T&G) said it would seek an explanation from Heinz. T&G food industry leader John Jordan said, 'When Heinz took over the HP Sauce plant last year they promised there would be no shift in production.' David Hobin, Heinz vice president with responsibility for manufacturing said: 'We deeply regret having to consider closing the HP sauces manufacturing site at Aston, and I understand the very serious concern that this news will cause for employees and their families.' Dutch workers are supportive of their English counterparts and are considering whether to refuse to handle the work being transfered from the Aston plant. Dutch union officials will be writing to the company's directors in Europe expressing their 'displeasure' with the factory closure and presenting a petition at the UK headquarters in Hayes, in London.


Sources

  • 9 May 2006: BBC Website
  • 13 July 2006: BBC Website

Citation

Eurofound (2006), HP Foods, Offshoring/Delocalisation in United Kingdom, factsheet number 63490, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/63490.