Friday, November 22, 2024

Kellanova confirms closure of Manchester site, cutting 360 jobs

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Kellanova, formerly Kellogg Company, has confirmed that its Trafford Park plant in Manchester, UK, will close by the end of 2026.

About 1 million boxes of cereal including Corn Flakes, Rice Krispies and Coco Pops are made at the Trafford Park site every day.

The closure will result in the loss of around 360 roles. Following the conclusion of formal talks with trade unions and employee representatives, the company said that mutual agreement has been reached on an enhanced redundancy package and that redeployment will be offered to all colleagues, where it can be accommodated.

The future of the 27-acre facility has been in question since February when a potential closure was first announced. At the time, Kellanova cited the age of the almost 90-year-old plant, together with the large amount of redundant space in its buildings, as reasons for the potential move.

Kellogg’s managing director for the UK, Chris Silcock, said: “We want to acknowledge the professionalism of all colleagues at the factory during what we know have been some difficult discussions. When we announced our proposal earlier this year, we said it had nothing to do with the outstanding people who work at our factory. And, how everyone has chosen to conduct themselves over the last months has really brought this to life for us.”

He continued: “However, we remain clear there isn’t a long-term future for the site. It’s laid out in a way that made sense in the 1930s, with food travelling up and down six floors in a legacy manufacturing process. What’s more, we only use half the space in the buildings and the investment required to maintain the factory in the coming years is simply not viable.”

Chris concluded: “We understand confirmation of something significant like a factory closure is never easy to hear and we will try to make it as smooth as possible. That means we’ll work with partners on things like outplacement support for our employees and, for the community, we will start to explore the long-term future of the site.”

Kellanova hopes to retain Manchester production volumes in the UK. It said that further information on this will be shared later in the year.

A joint statement between Kellanova and Trade Unions, said: “Through collective consultation the company and employee representatives have agreed a substantial package which recognises our employees’ contribution to the Manchester plant and supports them to transition to life beyond Kellanova.”

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