Biscuit maker McVitie's cuts jobs after floods

UK biscuit maker McVitie's is to cut 33 jobs at its Carlisle factory, after damage caused by floods in January permanently disabled four production lines, reducing the plant's total output by 20 per cent.

Production of the company's Malted Milk, Shortcake, Jam Ring and Wheatmeal biscuits will be permanently transferred to plants in Glasgow and Leicestershire, said the United Biscuits owned company.

Floods in January this year resulted in the factory being inundated with six feet of water, causing up to £10m worth damage, according to GMB trade union, and halting all baking for two months.

Production was transferred to other plants while the damage was evaluated and steps were taken to salvage the destroyed factory.

"The immediate reaction to the floods was that the factory would not resume trading. Staff have worked extremely hard to repair the damage and the restoration has been miraculous," said Jed Caig, GMB trade union region organiser.

"The decision to cut jobs was extremely disappointing but not surprising. We have been expecting an announcement for some time now as the reduced lines have been overstaffed," Caig told BakeryAndSnacks.com.

The company, which would not reveal the level to which profits were affected by the floods, is expected to announce the redundancies at the beginning of next month.