A Nottingham pizza company is partly blaming Brexit for an ‘imminent threat’ to 280 jobs at its factory in the city.
Trade union Unite says The Pizza Factory currently has a workforce of 781, with 280 facing redundancy from January 28 onwards.
The union says staff got a message from the company which partly blamed the impact of Brexit for money problems which have led to the planned job cuts.
The message emerged less than 24 hours after Prime Minister Theresa May delivered a speech setting out how the Government plans to take Britain out of the European Union.
She confirmed that the UK will leave the single market, which allows free movement of goods, workers, services and capital around the EU, but is planning to still have access to it with a ‘comprehensive free trade agreement’ as part of a 12-point exit plan.
In a new year message to employees, the management of The Pizza Factory, said: “As I am sure you all know we are in an extremely challenging economic environment following Brexit.
“We are facing very significant commodity and utility inflation on top of the national living wage increases.
“At the same time retailer competition is intensifying with growth harder to come by and value a key theme.”
Pizza Factory is owned by the food company 2 Sisters, and has a bakery in Finch Close and a second base in Gateside Road, both off Queens Drive in Nottingham.
Trade union Unite has branded the news as ‘a body blow’ to the local economy and said that action is planned.
Unite regional officer Andy Shaw said: “This is very bad news for the workers and their families; the company has blamed Brexit and pressures from price-conscious supermarkets.
“Our members will be taking industrial short of a strike from next Tuesday which will mean withdrawing overtime and goodwill.
“The management’s consultation process has been dire, given the number of jobs under threat.
“What we want is a doubling of the statutory redundancy pay, as was in place when Northern Foods owned the plant, and for the current salami slicing of terms and conditions to be reversed.”
Notts TV News has contacted 2 Sisters for a response.
Elsewhere, members of the East Midlands Chamber of Commerce were said they were ‘reassured’ about what May said in her speech in relation to Nottinghamshire businesses.
Chief executive Scott Knowles said: “For the first time she has stated that she wants UK firms to be able to continue to recruit the skills they need from among EU nationals and for UK citizens to work and live in the EU.
“She is also talking about a period of transition between the UK being part of the EU and after it leaves so that the impact of our exit is softened.
“There remain concerns about Britain’s place in the Customs Union, which facilitates free passage of goods throughout the EU, to which Mrs May said that she wanted Britain to be able negotiate its own international trade agreements but that she also wanted to retain the benefits of being part of the Customs Union.
“Overall, Mrs May has set out a position that indicates that she does have business interests at heart, which is something we have said from the outset should be a driving force in Brexit negotiations.”
East Midlands MEP Andrew Lewer, a supporter of the Leave campaign, said the speech provided ‘much needed clarity’ about Brexit.
He said: “The Prime Minister was unequivocal and set out a clear set of principles and objectives that give clarity for the next two years as the government sets about invoking Article 50 and the negotiations start.
“I know people across the East Midlands will be pleased that Mrs May has listened to their views on the Single Market, tackling immigration and leaving the jurisdiction of the European Courts of Justice.
“She made it clear that there will be no half-in half-out arrangement but that Brexit really does mean Brexit.”
