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Closing down

Mr Kipling cake maker Premier Foods to close factory putting 300 jobs at risk

PREMIER Foods, the company behind Mr Kipling, will be closing one of its manufacturing sites.

The moves means that 300 jobs will now be at risk.

The move will affect 300 jobs
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The move will affect 300 jobsCredit: Picture It Now

Premier Foods, which also makes sweet favourites such as Angel Delight and Bird's Custard, announced the news today (January 19).

It also produces cupboard staples like Lloyd Grossman Sauces, Oxo and Bisto.

The group employs more than 4,000 staff and is proposing to close is its Knighton manufacturing site in Staffordshire, though they haven't said when this will be.

It said the reason for this location in particular was "loss-making".

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Premier Food is launching a consultation with the 300 workers at the site under a process that will run to the middle of 2023.

However, the site – which largely makes unbranded powdered drinks for the group – is likely to continue operating into 2024 before finally shutting.

Premier Foods said: “It is recognised that this will be an unsettling time for those circa 300 colleagues who are potentially affected by these proposals and they will be fully supported and consulted with throughout the process.”

Last week, online retail giant Amazon announced plans to shut three UK warehouses, putting more than 1,000 jobs at risk.

Sites in Hemel Hempstead, Doncaster and Gourock, in the west of Scotland, have been proposed for closure.

Around 500 employees currently work at Amazon’s Hemel Hempstead site, and will all be offered roles at its nearby Dunstable warehouse or other nearby locations.

The consultations will involve around 400 staff at its Doncaster site in Balby Carr Bank, who the company plans to transfer to its two other fulfilment centres at Doncaster’s iPort.

The proposals will also affect around 300 workers currently based at the Gourock site.

Then , only yesterday (January 18), Microsoft announced it will axe thousands of jobs due to the global economic crisis.

Around 10,000 jobs are expected to be cut - equating to just under 5% of its total workforce

The company said it had notified employees of the layoffs, some of which begin immediately.

The job cuts would affect staff worldwide, according to a statement released by Microsoft.

What are my redundancy rights?

Companies can choose to cut their workforce and employees should understand their rights.

You are entitled to statutory redundancy pay, but only if you have worked at your job for two years or more.

The statutory rate is based on your age, weekly pay and number of years in the job.

You will get:

  • Half a week’s pay for each full year you worked aged under 22
  • One week’s pay for each full year you worked aged 22 or older, but under 41
  • One and half week’s pay for each full year you worked while aged 41 or older.

But it's capped at 20 years and the max redundancy pay you can get is currently £16,320.

Some companies may offer to pay more than the statutory amount. This will usually be in your contract.

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Plus, you are still entitled to any pay you are owed for untaken holiday days at the end of your notice period.

The government has a calculator on its website to help you work out how much you are owed.

Do you have a money problem that needs sorting? Get in touch by emailing [email protected]