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Diageo cuts 80 jobs in supply restructure

Diageo is to cut around 80 UK jobs following a review of its global supply operations.

Diageo is making the cutbacks as part of plans to save around £60m a year

Having announced the review last month, which is intended to save the drinks group around £60 million a year, Diageo has confirmed it will lose 80 employees, mostly in managerial positions, from its operations around Scotland.

The move is to align its Scottish operations into a newly-created International Supply Centre, which will be headquartered in Edinburgh and incorporate the Diageo Europe Supply arm.

“To ensure the business in Scotland remains competitive the review identified opportunities to simplify processes and organisation at local levels, which will result in a proposed reduction of around 80 roles across Diageo’s 50 sites in Scotland,” the company said in a statement.

“The reduction will primarily be in management roles and will be spread across a number of sites. This change will be managed through a phased process in consultation with employees and implemented over the next financial year until June 2014. Diageo will seek wherever possible to minimise the impact of any change.”

Earlier this month workers union Unite encouraged Diageo not to make any staffing cutbacks in the process of its reorganisation, claiming “Scottish workers have already paid a very heavy price for Diageo’s profits”.

Around 700 employees lost their jobs in 2012 when the group closed its Kilmarnock plant, while over 10% of its workforce was let go in 2009 as part of a separate restructure.

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