Scottish Government 'perplexed' by McVitie's closure

The Scottish Government has expressed its disappointment after the owners of the McVitie's factory in Glasgow rejected plans to save it from closure.

Pladis said a proposal by an action group which included the government, city council and unions was not "viable," and the factory is now expected to cease operations in the second half of 2022.

The company, a subsidiary of Turkish conglomerate Yildiz Holding, issued redundancy notices to more than 450 workers earlier this year.

It said the planned closure would "address excess capacity" across UK sites and protect the long-term sustainability of the building.

But Deputy First Minister John Swinney said he was "perplexed" by the decision.

He said: “This announcement from Pladis is extremely disappointing. The Scottish Government, alongside Glasgow City Council, GMB and Unite Union, are equally perplexed by this decision as the Pladis CEO gave firm assurances to the First Minister and I in July that they remained committed to working with us to review the proposal submitted by the action group – a serious proposal that aims to support Pladis to retain a factory in Glasgow and secure the jobs at risk.

“Alongside our enterprise agencies we are currently engaging with Pladis to understand why this announcement has been made and what it means for those employed at McVities. We remain absolutely committed to working with them to find an alternative to closure.

“Our overriding priority remains the welfare of the staff and their families and we want to reassure them that we will leave no stone unturned in trying to find a positive outcome. Should Pladis decide to reject the proposals of the action group and proceed with closure, the Scottish Government will put steps in place to support staff who may be facing redundancy.”