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UK: Summit Organised in Scotland to Scrutinise Plans by Diageo to Cut 900 Jobs

Source: Scottish Executive
19/08/2009

19 August 2009 - The substantial case against Diageo's proposed job cuts in Scotland is gaining momentum, John Swinney said today.

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The Finance Secretary will this evening chair a further meeting of the taskforce set up to reverse the drinks company's plans.

Discussions at the meeting will focus on an independent report produced for the taskforce, which evaluates Diageo's original plans to cut its Scottish workforce by 500 through closing plants at Kilmarnock and Port Dundas in Glasgow.

Compiled by BDO Stoy Hayward, the report provides information on possible alternative solutions. It will now be entirely up to the taskforce to use that information as it chooses to develop the strongest possible alternative proposal.

Mr Swinney said:

"This meeting is a crucial step forward and demonstrates the substantial case against Diageo's proposed job cuts in Scotland is gaining real momentum.

"It will provide a chance for all partners to consider the report into Diageo's proposals produced on the taskforce's behalf.

"Crucially, this report will be the substantive basis on which we can develop our alternative proposal to put the strongest possible case to Diageo.

"A cornerstone of this business case will be to protect employment in the West of Scotland - therefore preserving the generations of tradition that both communities have with the whisky industry."

The BDO Stoy Hayward report will be discussed at Wednesday's meeting, but will not be made available publically. The contents are commercially sensitive and the taskforce will be given the chance to consider the report and how it wishes to proceed before any elements are published.

The report will be used by the taskforce to compile the final alternative proposal that will be presented to Diageo.

Invited to the meeting are representatives of the taskforce, including East Ayrshire Council, Glasgow City Council, Scottish Enterprise, trade unions and local politicians.



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