Published: Wednesday, 1st July, 2009 1:02pm

Drinks giant to shed 700 Ayrshire jobs

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THE announcement that 700 posts are to go at one of the area's biggest employers has been met with anger today.

Drinks giant Diageo have confirmed they will be closing their packaging plant in Kilmarnock as part of a restructure of the business.

The jobs are expected to go over the next two years and will coincide with the closure of its Port Dundas distillery in Glasgow.

Central Ayrshire MP Brian Donohoe hit-out at the firm's decision, which is best known as the manufacturer of Johnnie Walker whisky and Guinness.

He fumed: "Diageo claims it is being forced to re-structure its operations in Scotland as a result of the current economic situation.

"However, the economy will be well on the mend by the time their proposals would click in, so there seems little point. Ayrshire has been a key component in their business since it started almost two centuries ago, and their loyal staff have helped to build the company into what it is today.

"I think their announcement is a knee-jerk reaction to short-term global economic problems, so I would urge them to keep cool heads and re-think these disastrous proposals."

He added that the loss of 700 local jobs would be "utterly devastating" and "cause a tidal wave of destruction to families across Ayrshire".

Meanwhile the Scottish Trades Union Congress said the decision will not be accepted lightly.

General Secretary Grahame Smith said: 'The scale of these job losses comes as a genuine shock to the Diageo workforce. The announcement is a massive blow to the individuals concerned and their families and the impact on the Kilmarnock area is potentially devastating.

'Given that Diageo has publicly promoted its partnership model of industrial relations, management must now treat its loyal and productive workforce with the respect they deserve by urgently providing union officials with the full business plan used to justify these swingeing redundancies at hitherto profitable workplaces."