Biscuit fans beware, if either Jamie Dodgers or Wagon Wheels are amongst your favourites, the followings news may be distressing.
Production of Jammie Dodgers and Wagon Wheels could be stopped this month as factory workers plan to go on strike, with the subsequent disruption potentially leading to empty shelves as supermarket supplies dry up.
The workers, employed by Burton’s Biscuits, are planning to go on strike over an insulting 1.6% annual pay rise offer. Represented by the trade union GMB union, the workers demanded a 7% pay rise, and after this was refused, the union is now organising an overtime ban as well as three days of strikes.
The factory, which produces over 7 million biscuits a day, has said that their offer of 1.6% was fair considering the economic uncertainty, looming depression, and high levels of unemployment.
The factory also added that the union’s demands could be detrimental, and that such a wage increase may even lead to less job security for the 400+ workers.
THINK LIKE AN ECONOMIST!
Q1. What is meant by the term trade union?
Q2. Explain one aim of a trade union.
Q3. Analyse the impact that GMB Union’s actions are likely to have on wages and employment at this biscuit factory.
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