McVitie’s Tollcross Factory

Nigel Evans Excerpts
Tuesday 22nd June 2021

(3 years, 6 months ago)

Commons Chamber
Read Full debate Read Hansard Text Read Debate Ministerial Extracts
David Linden Portrait David Linden (Glasgow East) (SNP)
- Hansard - - - Excerpts

It has been several weeks since we learned of the proposal put forward by Pladis, the company behind the McVitie’s biscuit brand, to close its long-standing factory in my Glasgow East constituency. In that time, I have raised the matter at every opportunity, both outside and on the Floor of the House. This evening’s debate, however, gives me much more time to expand on the situation and I want to take this opportunity to thank Mr Speaker for very graciously allowing me to hold this Adjournment debate. As you can probably understand, Mr Deputy Speaker, I am currently battling laryngitis, but nothing and no one would hold me back from being in the House to represent my constituents tonight. That said, should my voice give way, I know that my hon. Friend the Member for Paisley and Renfrewshire North (Gavin Newlands) might want to make the points on my behalf, but let us hope it does not come to that.

Before I begin my speech, I wish to remember Andy Millar, a long-serving employee at the McVitie’s factory in Tollcross who recently died. Andy had worked at the factory for 37 years—his entire adult working life. His dedication and loyalty to McVitie’s was undeniable, and I want to extend my heartfelt condolences to his family, friends and colleagues. I also want to thank the Minister for taking the time to listen to what I have to say this evening, because this is not just a factory closure—not for me, not for the workers at the factory, nor for my constituents. I will come on to talk more about the history of the Tollcross site, but suffice it to say that having been in operation for almost a century, McVitie’s is firmly embedded in the DNA of the east end of Glasgow.

I recently attended the socially distanced rally in Tollcross Park which was organised by the GMB trade union, where hundreds of McVitie’s employees and their families had gathered to protest against the closure of the factory. One image that stuck in my head was of a young girl holding a handmade sign that read, “Save our mums and dads jobs.” I want to provide the Minister with some context here. For many kids in the area, their household income either comes largely or completely from the factory. I know from speaking with factory staff that there are a large number of households where either the sole breadwinner or both parents work at the factory, and in many instances there will be a huge impact on the extended family network. Employment at the factory is intergenerational and there were kids at that protest who will not only have parents, but aunts, uncles and grandparents all working there simultaneously. That is the crux of the issue.

It is no exaggeration when I say that the closure of the Tollcross McVitie’s factory would be devastating for the local community. I have said before in this Chamber that the closure would be the equivalent of economic Armageddon for the east end, and I truly mean that. With a shared history as rich and vibrant as that of McVitie’s at Tollcross, it would be impossible for the company to turn its back with no consequences.

McVitie’s has become synonymous with Scotland. The UK’s biggest biscuit brand has had a presence in Scotland since 1830, born out of a bakery in Rose Street in Edinburgh. The factory in Tollcross was built almost 100 years later and has operated continually to the present day. I have visited the factory many times. It is a building with an incredible amount of history, which is shared and recounted by the proud workforce. I have lost count of the number of people who have told me colourful stories of their parents, grandparents and great-grandparents who have worked there. Those generations of families in the east end of Glasgow helped to propel the McVitie’s brand to its contemporary dominance over the domestic biscuit market. A huge part of that success, and the reason why McVitie’s outsells the next seven biggest biscuit brands combined, is because the business is very much a family business. This proposal, however, changes all of that.

The McVitie’s brand stands on the shoulders of its dedicated Tollcross workforce—generations of families past and present—and today’s workforce does not deserve to be abandoned. I do not use that word lightly, but that is exactly what Pladis would be doing: abandoning its loyal employees. Over the past 15 months, the world has been turned upside down, yet throughout the pandemic the Tollcross factory workers continued to serve McVitie’s diligently as key workers. While millions of others worked safely from home, they come into work day in, day out, to keep the UK fed. How are those Tollcross factory employees being rewarded for being key workers during the pandemic and contributing to a “bumper” sales year for McVitie’s? They are being rewarded with the threat of closure and redundancies.

I have already made my feelings abundantly clear to David Murray, the managing director of Pladis UK and Ireland, about how the staff have been treated, but to say that it is a complete kick in the teeth is a huge understatement. The dedication of the workforce at Tollcross helped McVitie’s towards its record high sales throughout 2020, but their dedication has been met with cold and callous thanklessness.

In Pladis’s annual biscuit review, it outlines its successes during 2020. The report highlights that Britain’s biscuit market grew by 7.2% last year, equivalent to an extra £212 million in sales. UK biscuit retail sales were worth £2.96 billion in 2020, and they were bought by 99.5% of all UK households. By way of rationale for the proposed closure, Pladis insists that the UK biscuit market is “mature”, yet in the report Scott Snell, vice-president of customer at Pladis, states:

“as the number one biscuit supplier, since almost a quarter of biscuits purchased (24.6%) are pladis brands, we believe there is yet more growth to be tapped into.”

I therefore do not believe that the rhetoric is matched by reality. The stated reasoning behind axing 468 jobs and the complete abandonment of Scotland is weak to say the least. I can see that, the trade unions can see that and, most importantly, the workers at the Tollcross factory can see that. That is why we are not giving in without a fight.

The local community, employees at the factory, trade unions, local elected representatives, Clyde Gateway, Scottish Enterprise, Glasgow City Council and the Scottish Government have rallied to the cause and are working hard to prevent the closure. I also want to put party and constitutional politics aside and place on record my thanks to the UK Government for working with me and playing their part in the efforts to keep the factory in the east end of Glasgow. Whether it is the Department for Business, Energy and Industrial Strategy, the Scotland Office—I see the Under-Secretary of State for Scotland, the hon. Member for Milton Keynes South (Iain Stewart), on the Treasury Bench tonight—or the Prime Minister himself, I have found a genuine willingness to work constructively together across traditional party and constitutional lines to save these jobs in my constituency. The campaign, though, is fundamentally a grassroots one. A petition organised by workers at the factory is currently sitting at more than 64,100 signatures, and, at this juncture, I wish to pay tribute to Paul Smith who works at the factory.

In addition, on behalf of my Glasgow East constituents, I presented a petition in this Chamber in which I outlined their concerns and the public opposition to the proposed closure. Hundreds of factory workers and their families attended a rally protesting against the factory closure. It was organised by GMB, which has also been working incredibly hard to protect local jobs, as has Unite the Union.

Glasgow City Council passed an emergency motion, which was brought forward by my SNP colleague and Shettleston ward councillor, Laura Doherty. The unanimous passing of this motion gave the full support of all party groups to the leader of the council to take all appropriate steps to assist in preventing the loss of these jobs, and to explore ways to secure a sustainable future for the site.

That motion also allowed for the formation of an action group, chaired by the Scottish Government’s Cabinet Secretary for Finance and the Economy, Kate Forbes, and Councillor Aitken. The group has brought together representatives, officials, trade union representatives and stakeholders to encourage an open dialogue with Pladis ultimately to try to find a solution—any solution—to keep the Tollcross factory open.

Despite this enormous collective effort, last Friday, Pladis officially issued its HR1 notice signalling advance notification of potential redundancies. The 45-day consultation process began on Friday, and, over the weekend, the worst fears of hundreds of families became a reality. At this juncture, may I say that my thoughts are very much with the families and the factory workers who now face an incredibly uncertain time? Far too often, even in this House, we lose sight of the fact that people are worrying about how they will pay their car loan, how they will pay their rent and how they will pay their mortgage. I do not believe that the factory closure is a foregone conclusion, and I will continue to work around the clock to play my part in finding a solution.

I know that David Murray and other senior Pladis executives will be watching this debate intently this evening. Indeed, they spend an absolute fortune on public relations and spin, so, as a result, all the lobbyists will be watching this debate. On behalf of the trade unions and the staff at the factory, I want to say this directly to David Murray and Salmin Amin: “The proposal to close the factory cannot go ahead. It would completely devastate the local area and create an economic scar that would remain for many, many years to come.”

My message to David Murray is clear: “Your staff do not deserve to be treated with contempt. They have been instrumental in your success. Their parents and their grandparents built your business. And, yes, to you, this is business, but to us this is deeply personal. The McVitie’s brand is cherished because of its history, not in spite of it. McVitie’s is as much a part of the east end of Glasgow as we are a part of it. Please work with us. Please engage with the action group. Listen to the reasonable propositions being put forward. Have the good sense to change course and to continue our mutual success.”

There is a genuine and collective will to prevent the factory being shuttered and to protect local jobs. I will continue to play my part and I look forward to the Minister’s response this evening.

Nigel Evans Portrait Mr Deputy Speaker (Mr Nigel Evans)
- Hansard - -

I congratulate Mr Linden who is battling laryngitis on completing the speech. His voice was heard loud and clear. Whether that is down to the biscuits, something in the whisky or something in the water, I do not know.

Nigel Evans Portrait Mr Deputy Speaker
- Hansard - -

Thank you. I call the Minister.