Hundreds of Morrisons jobs at risk after supermarket makes major announcement
Morrisons is facing backlash as it plans to shut its Rathbones bakery in Wakefield, putting almost 400 jobs on the line. Unions are slamming the supermarket firm for discarding "workers on the scrapheap" after its acquisition by a private equity company last year.
The UK's fifth-largest grocer has initiated consultations about closing the own-label bakery operation following a detailed review. The move endangers the livelihoods of 378 employees at the site, reports MirrorOnline.
Acquired from administration in 2005, Morrisons says that despite efforts, the bakery has been running at a loss for years. A spokesperson for Morrisons said: "After a period of growth and investment, the business has been loss making for a number of years. Although we have tried several routes to return the business to profitability, none have been successful."
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The company revealed its commitment to supporting affected staff, including exploring possible reassignment within the company. The Bradford-based chain, now under the ownership of Clayton, Dubilier & Rice, assured that its 450 Market Street in-store bakeries would be unaffected.
Insiders suggest that Morrisons may still produce certain breakfast items like muffins and croissants at the site, potentially saving some jobs. Morrisons has announced it is "considering all alternative options ... on how we could change our current business model and safeguard as many jobs as possible".
Meanwhile, Sarah Woolley, general secretary of the Bakers, Food and Allied Workers Union, slammed the company's actions since its acquisition by Clayton, Dubilier & Rice in 2021: "Since Morrisons were bought out by Clayton, Dubilier & Rice in 2021 we have seen the traditional cycle of private equity firm behaviour post-takeover that throws workers on the scrapheap without even a glance back.
"They have asset stripped Morrisons, with our members now bearing the brunt of their mismanagement with this short-sighted decision to close the site. This treatment of people is plain wrong and unfair on the hundreds of people who work at the site and who have had their lives turned upside down by this decision."