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Diageo Scottish union threatens to go on strike in September

Diageo Scottish union threatens to go on strike in September
FILE PHOTO - A man walks past a building in the Diageo Shieldhall facility near Glasgow, Scotland August 26, 2010. REUTERS/David Moir -
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David Moir(Reuters)
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(Reuters) – Members of one of Diageo Plc’s <DGE.L> biggest Scottish unions are set to go on strike, days after talks over pay raise fell through, threatening the production of some the region’s most popular whiskies.

Scotland’s Unite union said that 500 workers at Diageo’s Cameron Bridge, Leven and Shieldhall sites have voted in support of industrial action, with strikes at the company’s distilling and bottling plants now likely to begin in September and go on till November.

Members of the union were balloted for strike action after a 2.8% pay raise offer by Diageo was rejected by the union last month.

“Unite would urge Diageo to get back round the negotiating table with a new offer which fairly rewards its workers who have earned these massive profits for the company,” Unite regional industrial officer Bob MacGregor said.

“If they do not, then Diageo’s operations will needlessly grind to a halt in the coming weeks.”

A Diageo spokeswoman said on Friday, the Johnnie Walker maker had contingency plans in the event of industrial action, but remained committed to seeking a resolution.

(Reporting by Siddharth Cavale in Bengaluru; Editing by Shinjini Ganguli)

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