Workers at a Derbyshire packaging company say they are facing a summer of uncertainty after meetings with bosses hit a stalemate.
139 members of staff at DS Smith Clay Cross face redundancy after being told that the Pilsley Road factory is one of five sites earmarked for closure by the end of the year.
DS Smith was acquired by International Paper earlier this year with the American firm stating that they had no plans to close any UK sites. However, the company released a statement last month saying the move was “to improve efficiencies and to respond to the evolving needs of our customers in what are tough trading conditions for the industry.”
Workers at DS Smith Clay Cross, which has employed local people for more than 60 years, have met with International Paper representatives, but there appears to be further confusion over the company’s decision to close the factory, with contrasting information communicated to staff.
John Smith, who has worked for DS Smith for more 19 years, said: “We have been told on several occasions how well we have been performing, contributing to the local economy and praised for raising money for local schools and charities.
“However, following two meetings with International Paper representatives and a visit from our local MP – who fully backed our campaign to keep DS Smith Clay Cross open – we are no clearer over the future of the site.
“We have been told that the decision to close Clay Cross was because of lack of work throughout group. If that’s the case why not ask for voluntary redundancies throughout group rather than the brutality of shutting down a whole factory?”
International Paper initially stated that DS Smith Packaging, prior to the takeover, were the ones whose decision it was to close the Clay Cross site. And now they’re saying it was a decision made by International Paper.
“We really have no idea what is going on and, the worry for us, is that International Paper don’t appear to know either.”
John Smith went on to say that he believes the workers have been ‘hoodwinked’ and that they were led to believe that DS Smith Clay Cross was profitable.
He said: “We are not fools; we know that a business has to be profitable to be viable, but we are. We are hitting record numbers and new work is continuing to come in.
“DS Smith Clay Cross has consistently performed well, and so the decision to shut the factory is questionable. We have an excellent reputation within the industry, and an impeccable health and safety record.
“There are still so many questions that need answering – and I fear we may never know the decision behind International Paper’s decision to choose DS Smith Clay Cross as one of the five sites it plans to close at the end of the year.”
There has been suggestions that International Paper plan to sell the Clay Cross site to housebuilders, but this has been rebuffed by bosses.
Smith added: “We have generations of families who work here and, during Covid, we were key workers who produced the packaging for products on supermarket shelves.
“There are young people here who have young families, and for them this news is such a blow. They feel let down.
“We are a loyal workforce, and we want answers from International Paper over the future of the Clay Cross site.
“DS Smith contributes massively to the local economy, and it will be devastating if the factory shuts. We are going to continue to do everything in our power to keep DS Smith Clay Cross open.”
International Paper said it expected the proposals would be implemented by the end of this calendar year. The consultation period is ongoing.
GMB Union has described the closures as ‘brutal’. Matt Roberts, GMB national officer, said: “The loyal DS Smith workforce were reassured throughout the takeover that it would be a positive step.
“But brutal closures of multiple sites and savage job cuts at others so soon into the new ownership are way beyond their worst fears.
“This cruel move is a huge shock for these workers, their families and their communities – not to mention a disaster for this strategically important industry.”