Workers at major packaging group DS Smith have voted overwhelmingly to go on strike in a dispute over pay, potentially causing disruption for several retailers and brands.
Union leaders noted that the firm makes packaging for the likes BrewDog, Diageo, McVities, PepsiCo, Princes, KP Snacks, and PepsiCo.
DS Smith also supplies Amazon, raising concerns that the online giant could face packaging shortages during the key Black Friday trading period.
In total, 93% of the 1,000 GMB Members voted in favour of industrial action over what is claimed to be a real terms pay cut.
Workers in five sites – Louth in Lincolnshire, Featherstone in Yorkshire, Clay Cross in Derbyshire, Devizes in Wiltshire, and Livingston in Scotland – could take part in the strike as early as the end of the month.
At a time of double-digit inflation, DS Smith is said to have tabled an offer of a 3% consolidated increase plus a non-consolidated payment of £760 for 2022-23.
Eamon O’Hearn, GMB National Secretary, commented: “DS Smith members worked through the pandemic, helping keep the company afloat through troubled times. It turns out that the company was hugely profitable during the pandemic, now they need to company to step up and help them through the cost of living crisis.
“A strike at DS Smith could have serious implications across a range of household names – not least Amazon, which gets packaging from the company.
“DS Smith can afford to do better – they need to table a serious offer that respects the contribution of our members, to nip this industrial action in the bud.”
A spokesperson for DS Smith said: “We are disappointed with the vote for industrial action, particularly at a crucial time for all of our customers.”
The company, which provides cardboard boxes, paper and recycling services, stated that negotiations were ongoing with unions and that it had contingency plans in place.
