Workers at a KP Snacks factory in the UK have voted to strike after the company offered a raise that union officials say amounts to a real-terms pay cut.
Production of salted and dry roasted peanuts will come to a halt for a week in September as workers rejected a below inflation 8% pay rise.
Situated in Hellaby, South Yorkshire, the factory is the sole producer of KP Nuts.
The strike at the plant is scheduled to commence on 5 September. The union is warning that the industrial action will escalate unless the company improves its pay offer.
Unite, the union representing KP Snacks’ employees, reports that 83% of the factory staff voted in favor of the strike.
Unite stated, “The company made £54m ($68.3m) in profit but is offering workers a real terms pay cut. The company has increased its profits by 275% since 2018. In stark contrast, average pay at KP Snacks has fallen in real terms by 14% since 2018.”
A spokesperson from KP Snacks, owned by Germany-based Intersnack, defended the proposed pay increase.
“We believe that the offer of an 8% raise, with no conditions, backdated to April 2023 is fair, equitable, and ahead of most pay deals in the industry this year,” said a company spokesperson. “We are extremely disappointed to have reached this situation, which is unprecedented for KP, and had hoped to avoid the announced strike and resultant impact on colleagues.”
“In the meantime, the factory team continues to develop robust contingency plans to minimize the impact on customers and consumers,” added the roasted peanut producer.
Unite claims that KP Snacks also refused to offer a pay raise to their lowest-paid workers, instead opting for a one-off payment.
“Unite’s message to KP Snacks is if you pay your workers peanuts, expect strike action,” asserted Unite general secretary Sharon Graham. “…Workers refuse to accept anything less than a pay deal that keeps up with the cost of living.”
Headquartered in Slough, southern England, KP Snacks has seven manufacturing sites across the UK. Their portfolio includes Skips, Tyrrells, and Butterkist.
Recent negotiations saw Tata Consumer Products, the manufacturer of Tetley Tea, reach a deal with its employees in the UK after almost 200 voted to strike over pay.
Last month, strike dates were confirmed against UK soft drinks manufacturer AG Barr, after drivers at an Irn-Bru production and distribution center in Scotland rejected a 5% increase in wages offered by the owner.
