Nestlé will axe nearly 600 staff and shut Newcastle factory that makes Fruit Pastilles

Nestle is planning to cut almost 600 jobs in the UK, close a factory in Newcastle upon Tyne, switch production of some products to Europe and invest £29 million at its sites in York and Halifax, the company announced.

The chocolate giant was today branded ‘greedy’ after revealing the site in Fawdon, which produces fruit pastilles, will close at the end of 2023, costing 475 jobs.  

Changing working practices at the York site, which produces Kit Kats, will see a further 98 losses.

In the past Nestle has switched production of chocolates to Poland and other East European sites.

Ross Murdoch, GMB national officer, said: ‘To ruin hundreds of lives in a ruthless pursuit of profits, to the very workers who’ve kept the company going during a global pandemic, is sickening.

‘Nestle is the largest food producer in the world, with astronomical profits. It can afford to treat workers right.

‘Instead, they’ve allowed factories to deteriorate, outsourced production overseas and now slashed 600 jobs.

‘It’s corporate greed at its worst – GMB and Unite will fight for every job.’

Joe Clarke, Unite national officer for the food and drink industry, said: ‘The news about Nestle’s plans for its sites in Newcastle and York is a cruel body blow to the dedicated workforces, their families and, more widely, the regional economies.

‘We will be asking for an urgent meeting with the management to ascertain the business rationale for these decisions from a multi-national company which is highly profitable.

‘The fact these announcements have come during a global pandemic is particularly bitter and heartless.

‘Unite will be liaising closely with the GMB union to strongly campaign against these misguided plans whose only motive seems to be increasing profits.

‘We will also be giving maximum support to our members and their families in the coming weeks and months.’