Union Unite said over 90 workers will start to strike at 6am on Monday 31 July, with action ending at 5.59am on Monday 14 August. This is instead of the previously announced plan to spread the industrial action across separate days in July, August, and September.
Further strikes will be announced “in the coming days” if an improved offer is not put forward, it added.
Unite stated: “The industrial action is a result of the company only being prepared to offer an 8% “strings attached” pay increase. The offer is a real terms pay cut with the true rate of inflation (RPI) currently standing at 10.7%.”
According to the union, Cepac has said the 8% increase is dependent on the working week increasing from 37 to 40 hours, an inferior sick pay scheme, changes to shift patterns, and reduced overtime rates.
Unite general secretary Sharon Graham said: “Cepac needs to table a fair pay offer and drop its attempt to cut terms and conditions. This is a profitable company that can well afford to give these workers a reasonable pay rise.
“Unite is entirely focused on protecting and improving our members’ jobs, pay and conditions and Cepac’s workforce have the full backing of their union.”
Cepac produces corrugated packaging and serves clients including HBCP, whose customers include Greggs, Costa, Subway, and Pret, along with C&D Foods Group, whose customers include Aldi, Tesco, Morrisons, and Asda. Other customers include Mars, Carlsberg, Innocent Drinks, Pernod, Lidl, Sainsbury’s, and Diageo.
Unite regional officer Pat McCourt added: “Cepac’s clients will not be happy at the disruption these strikes will cause but this dispute is entirely of the company’s own making. Cepac needs to put forward an offer our members can accept.”
In reply to a request for a response from Printweek, Cepac group managing director Steve Moss said: “The company has continued to present alternative and improved offers to Unite who have failed to respond to any communications in recent weeks including company attempts to ensure the safety of members while picketing during the originally notified strike dates.
“The pay awards on offer range from 8% to 17.5% dependent upon individual roles with a focus on transforming the business to become a profitable centre of excellence for sustainable packaging.”
He added the impact of industrial action would jeopardise plans to invest and secure the future of the business at Darlington.
“The company is evaluating the negative financial impact on an ongoing basis and the escalation to a two week all-out strike only emphasises the urgent need for this evaluation. The uncertainty regarding production, heightens the risk that Unite’s action will seriously damage the business. We shall of course continue to take actions to seek to minimise disruption to our customer base.”
Moss added that customers and suppliers had “continued to be extremely supportive of the company” and were working with the company through the period of disruption.
He also commented on the impact that threatened escalation was likely to have on pay increases now and in the future.
“Any threatened escalation in itself threatens the stability and future of our business. Critically, and subject to urgent current review, industrial action is likely to impact the affordability of the pay offers that are still on the table for discussion and the company’s ability to pay them.”
