Diageo Places 172 Scottish Distillery Workers at Risk of Redundancy
Diageo has placed 172 distillery workers in Scotland at risk of redundancy as part of a global cost-cutting program, sparking fierce criticism from GMB Scotland.
Global drinks producer Diageo has placed 172 distillery roles at risk of redundancy across the Scottish Highlands, Islands, and Moray. An additional 38 positions may also be lost as the company implements a global cost-cutting program to redesign its operating framework and improve efficiency. The potential cuts affect several sites, including Cardhu, Cragganmore, Port Ellen, Islay, and Dufftown.
GMB Scotland has formally rejected the company's four-week consultation process, labeling it a "box-ticking exercise" and a "sham." Union leaders allege that executives refused to consider alternatives to compulsory redundancies, such as job-sharing or voluntary redundancy schemes, and failed to provide clear payment details before employee scoring began. GMB Scotland warns the job losses will severely impact rural communities in the Highlands and Islands.
Diageo maintains that consultations in the UK are ongoing and that no final decisions have been made. The broader restructuring effort led by CEO Sir Dave Lewis could affect up to one-third of the company's 30,000 global employees. The company intends to update shareholders on its progress during a Capital Markets Day on August 6.