Herbs and spices supplier McCormick UK to cut jobs
A source told Food Manufacture it was proposing a change to remaining team members' working days, however the company has not confirmed this.
A spokesperson for McCormick UK said: “As a result of the strong demand for our products and the changing dynamics of the UK grocery landscape, we are optimising our route-to-market model to ensure our products are available to consumers seven days a week.
In addition, and as part of our ongoing efforts to continually strengthen customer service levels, we have made some necessary changes to our UK routes. Unfortunately this has led to some redundancies and we are offering our full support and assistance to all impacted colleagues.”
Latest financial figures
Accounts filed with Companies House for the year to 30 November 2020 indicate turnover fell by almost £10m compared to the previous year, while operating profit dropped from £4.5m to £661,000. The company attributed the decline in turnover to the disposal of its Swiss branch in December 2019. Pre-tax profit rose from £14.7m to £36m.
Reporting on the results, the company's business review, which was signed off on 19 August 2021, claimed the pandemic had hit the performance of its Flavour Solutions division, which focuses on catering customers. However, it said this had been offset by growth in its Consumer division through its Schwartz brand.
According to ACAS guidelines, companies are legally required to have meaningful individual consultation with all affected staff, not just those being made redundant. However, in cases where there are less than 20 redundancies, there is no legally mandated consultation period.
McCormick announced in June 2021 that it was creating 300 jobs at a new 93,000m2 production site in Peterborough. The site would specialise in the manufacture of branded condiments, sauces and dressings and would also serve McCormick's Flavour Solutions brand customers.
