Cadbury has agreed a two-year pay deal and enhanced maternity pay package at three of its UK sites, covering approximately 1,300 employees.
Employees at the confectionary manufacturer's Bournville, Chirk and Markbrook sites will receive a backdated 3.2% pay increase for April 2017-March 2018, based on February 2017’s Retail Prices Index (RPI). The pay increase for the 2018-2019 pay year will be based on the RPI in February 2018. The RPI currently stands at 3.9%.
Members of the trade union Unite who work at the sites voted in favour of the backdated pay deal, which has been designed to counteract rising inflation rates.
Cadbury has also enhanced its maternity pay to 65% of an employee’s salary for seven and a half months, following the initial statutory six-week period paid at 90% of salary. This is an increase on the 12 weeks which were previously paid at 65% of salary.
A Mondelez spokesperson said: “We are delighted to have reached a deal with the teams at our Bournville, Chirk and Marlbrook sites. While ensuring the business remains competitive, the deal rewards our respected [employees] across our three chocolate manufacturing sites in the UK. Our factories, and the people who work there, are absolutely vital to our business in the UK, which is why we’ve invested £200 million in the UK, including £75 million to secure the future of Bournville.”
Joe Clarke, national lead officer for food, drink and agriculture at trade union Unite, added: “We are very pleased with this deal that our members have voted overwhelmingly in favour of. It is a package designed to counter rising inflation levels and protect our members’ standard of living during these challenging economic times.
“Unite has guaranteed a cost of living increase for Cadbury UK [employees] nationally with this two-year pay deal. We are delighted that the Cadbury business, with its strong ethical traditions, can still act in a positive fashion in relation to its workforce and set the benchmark within the food, drink and agricultural industries for other employers to follow.
“The recognition of how important decent maternity pay arrangements are is warmly welcomed by all our members and is an example which others in this sector should emulate.”
