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Dairy closure will cost up to 300 jobs

Laura Thistlethwaite
29/ 5/2008

UP TO 300 workers could lose their jobs when a Northenden dairy closes.

Arla Foods have revealed they are to shut the dairy and distribution centre on Paston Road, which trade union leaders say will cause a "devastating blow to the local community".

The site, which employs around 300 production staff, administrators and drivers, is due to be shut down by January 2009, subject to consultations with employees and union representatives.

Arla’s Northenden branch, which produces brands like Anchor butter and Cravendale milk, is the last dairy to operate in the area.

Arla Foods, which was owned by Express Dairies until 2003, has a 44 percent share in the fresh milk and cream market.

Maxine Morgan, of Arla Foods, said: "We very much regret the need to announce our proposed plans to close our Manchester site.

"We have informed colleagues affected by our proposal and are also fully consulting with trade union representatives. We are committed to giving full support to affected colleagues to help them find alternative employment both internally and externally of Arla Foods, subject to the consultation process."

The company said its decision was based on a "strategy of further enhancing its operational efficiencies across the entire business."

Under the proposals, raw milk, currently processed at Paston Road, will be transferred to the company’s other dairies in Essex, Leeds and Leicestershire. The farms which supply the milk will not be affected by the closure.

Councillor Martin Eakins said the situation was ‘heartbreaking’ for Northenden.

He said: "The economy of Northenden will undoubtedly suffer if the closure happens, however I plan to do everything possible to help staff, starting with arranging meetings between the company, union, Wythenshawe Regeneration and the council to see if there is any way we can stop the dairy closing."

Dan Moynihan, of Northenden Civic Society, said it would have a devastating effect on employment levels in the village.

He added: "Some of the 300 employees threatened with redundancy are unlikely to have such a proper job again, but are likely to end up on incapacity benefit.

"It is wholly unexpected Arla Foods only acquired this business from Express Dairies a few years ago and spent a lot of money on improvements. If our Paston Road dairy closes, there will be no dairies in Northenden."

Arla Foods say it will do everything possible to help staff find employment, including the possibility of working with other companies in the area and setting up an on-site job shop.

As the Reporter went to press, Unite trade union was in talks with company bosses, asking them to consider keeping the site open.

Mick Chalmers, of Unite, said: "We are extremely disappointed that Arla Foods proposes to close its dairy and distribution centre at their Manchester site.

"This will result in more than 300 job losses and will be a devastating blow to the local community. Our main task is to help our members and their families and should the closure go ahead we expect the company to find suitable opportunities for redeployment within the organisation."