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Heinz global restructuring looks to reduce workforce while increasing workloads.
Ottawa (26 Mar. 2014) — In March, international unions representing workers at Heinz plants around the world met to develop a sustainable employment strategy to counter the restructuring measures launched by new company management after the acquisition of Heinz by 3G Capital and Bershire Hathaway Inc.. Twenty-five participants from USA, Canada, UK, Belgium, Netherlands and Ukraine discussed the ways to develop this strategy and to build solidarity networks.
Unions worldwide are working on a sustainable employment strategy
Canadian workers have felt their share of Heinz's restructuring decisions when it announced the closure of its plant in Leamington, Ontario, in November 2013. The closure put almost 800 people out of work.
A separate online session was organized with union representatives from Belgium, where Heinz recently announced a closure of its ketchup factory in Turnhout and the transfer of production to a non-union plant.
Heinz's management strategy to eliminate factories, reduce jobs and increase workloads
The meetings concluded that the company is aimed not only to reduce the number of factories, but to squeeze the number of workers in the existing plants by combining jobs and increasing the workload of each employee. The changed nature of the company is clearly illustrated by the fact that Heinz does not even have any more production in its home town — Pittsburgh, Pennsylvania — where its valuable contribution to the local economy now remains only in the Heinz History Centre.
The new era of Heinz, which began with losing its status as a publicly owned company to become a company owned by financial institutions, resulted in job cuts of almost 10 per cent in the first year and in plans to continue with the same speed.
The meetings looked at the current state of the company and its role in the global food industry and in the supply chain. Participants strongly condemned the decisions to close profitable plants and committed to support the workers in Turnhout, Belgium. The International Union of Food, Agricultural, Hotel, Restaurant, Catering, Tobacco and Allied Workers' Associations (IUF) secretariat was mandated to continue research work, and to organize online conferences on a regular basis.
More information:
Kellogg's plans to eliminate 500 jobs at plant in London
Heinz makes deal with Highbury for use of Leamington plant
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