The plants future had been in doubt since the end of last year, when Polestar admitted it was a loss-making business that couldnt be sustained in its current form (PrintWeek, 7 December 2001).

GPMU deputy general secretary Tony Burke said workers had voted "overwhelmingly" in favour of a package that had been put together through negotiations last week.

Burke said it had been important for the GPMU to retain three UK gravure plants the others are Polestars Purnell and Varnicoat sites. "It gives us something to build on," he added.

He declined to reveal details of the plan, but local reports suggested that staff had accepted a 17-point plan that included a 12.5% pay cut, changes to sick pay and holiday cuts. It is believed that 13 jobs will also be lost from the print site.

However, the plants bindery is poised to close this week with the loss of 65 jobs. Last month the group started a 30-day consultation period with the GPMU after failing to find a solution to stem "massive" losses suffered by Greaves bindery (PrintWeek, 11 January).

Elsewhere within the group, reports of a multi-million pound "black hole" in the accounts at Polestar Chantry in Wakefield have been played down by chief executive Barry Hibbert.

"When Malcolm Robertson [Polestars group finance director] joined the group a year ago he looked at the way the financing of the group was structured, and has taken the decision to write a few things off," Hibbert explained.

"Chantry was run as an offshoot of the Watmoughs business. Malcolm has restructured the finances internally and made some alterations in the way the accounts are structured. This includes realising some assets and taking a more prudent approach to bad debt."

* Consultation continues between Polestar and the GPMU over the proposed closure of Chromoworks in Nottingham.

Story by Gordon Carson