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Strike threat lifted at drinks giant Diageo’s Fife sites after pay offer accepted

Bottling at Diageo (picture taken prior to Covid-19)
Bottling at Diageo (picture taken prior to Covid-19)

The threat of strike action at drinks giant Diageo’s Fife sites has been lifted after union members accepted a revised pay deal.

A last-minute offer prevented 500 staff at the firm’s distilleries and bottling plants at Leven, Cameron Bridge and Shieldhall from walking out last month, after they rejected a 2.8% increase put forward by management.

However, Unite the union – which agreed to suspend the planned wave of strikes on the eve of industrial action in September – has now confirmed that its members have accepted the new deal tabled which will bring the dispute to an end.

Employees will now receive 3% for the 2019 annual pay award backdated to July, with the 2020 award being based on the Retail Price Index figure for May next year.

Unite regional industrial officer Bob MacGregor said “Unite is pleased to announce that following a ballot of our membership at all Diageo’s distilleries and bottling plants the revised pay offer has been accepted.

“The offer is a two-year commitment which ensures our members’ pay does not fall below the cost of living.

“This is the least the workers deserve because it’s their hard work and dedication which has driven Diageo towards record profits.

“Unite hopes this agreement can help press the reset button on our relationship with Diageo and it ensures the company pays its workforce what it deserves in the future, rather than having to be dragged into doing so.”

In July, Diageo announced an increase in pre-tax profits in the year to £4.2 billion.

The company, which has brands including Smirnoff, Bailey’s, Johnnie Walker, Guinness, Tanqueray and Gordon’s gin, has also submitted plans for a flagship whisky experience on Edinburgh’s Princes Street at a cost of £150 million.

A spokesperson for Diageo said: “We are pleased that Unite union members have accepted our pay deal.

“It is a good and strong offer that ensures our employees receive an increase on their pay while maintaining the competitiveness of our operations.

“This enables us to move forward to progress the other aspects of the two-year agreement which will shape the future of our employee relations.”