Union in Talks Over Gallaher's Restructuring

Source from:  The Belfast Telegraph - September 10, 2007  09/18/2007

Talks are under way between management and unions at Gallaher's tobacco factory in Ballymena over a restructuring programme, it emerged today. Philip Oakes, regional officer of Amicus, the trade union, said they expected that around 25 of the 950-strong workforce would be affected. But he said the union was hoping those affected could be redeployed to posts elsewhere within the Lisnafillan plant. He said: "We are in negotiation with the company and hope there will be nobody exiting the company as a result of this restructuring. "Things are at a preliminary stage but it seems the research and development section at Lisnafillan is being reduced. "At present we are engaged in a 30-day consultation programme with management, but we expect that anyone who wants to stay on will be able to do so." A spokeswoman for Gallaher Group, which is based at Weybridge in England, said a number of reviews were under way across the company. "We were acquired in April by Japan Tobacco and are currently looking at the synergies that exist," she said. "A number of reviews are taking place as we bring together two major companies, each of which employs 12,000 people. "At present we are not announcing any of our plans or intentions." Japan Tobacco paid ￡7.5bn for Gallaher and the takeover has made the combined group the third largest tobacco company in the world. The Lisnafillan plant manufactures cigarettes for the UK market and Virginia-blended cigarettes for export. Last year, Gallaher reported that despite suffering a fall in volumes, UK sales had increased marginally to ￡3.67bn. The smoking ban, which now applies in the workplace, pubs and restaurants throughout the UK, has hit sales of tobacco products. Enditem