The Weekly paper of the New Communist Party of Britain
Week commencing 13th October 2023
The Weekly paper of the New Communist Party of Britain
The Suffolk town of Stowmarket is not normally thought of as a hotbed of industrial militancy, but 200 paint workers at PPG Industries’ factory in the town have voted for strike action after rejecting a below-inflation five per cent pay offer. PPG is part of a worldwide paint and coatings conglomerate raking in quarterly net sales of $4.9 billion in July, and net income has increased by 11 per cent over the last year. The Stowmarket factory specialises in paint for the upper end of the car industry, including the Williams Formula One team and Lamborghini.
Rejecting the offer that is actually a salary cut, Unite general secretary Sharon Graham said: “It’s a disgrace that a company awash with cash, such as PPG, is refusing to give a decent pay rise to its workers in the midst of a cost-of-living crisis. Our members at PPG will have the full support of their union in their fight for better pay.” The actual strike dates are yet to be decided.
Two other motor industry suppliers are involved in disputes. First, low paid-workers at International Automotive Components (IAC) in Solihull started indefinite strike action on Thursday.
The Solihull factory manufactures dashboards and door, roof and boot interiors for Jaguar and BMW. Readers awaiting new cars from these manufacturers might face delays.
IAC’s global revenues for 2021 were £2.4 billion in 2021, of which £221 million was generated within the UK. Little wonder the mostly minimum-wage workers have rejected a six per cent increase that would only increase the hourly rate to just £11.11. Workers above the minimum have also rejected staggered offers of six, seven and eight per cent.
Speaking on behalf of the 250 workers involved, Unite regional officer Jason Richards said: “IAC has the ability to pay and that is what needs to happen. Strike action, and the resultant disruption to JLR and BMW’s supply chains, can be avoided but for that to happen, IAC must put forward an acceptable offer.”
Yet another case of a loaded company denying workers a rise comes from the ArcelorMittal factory in Willenhall, in the West Midlands. Here workers have rejected a seven per cent rise on top of their average hourly wage of £11.24.
In contrast, their latest accounts show a turnover of £267.5 million and operating profits of £33.1 million in 2021. The factory produces steel coil and blanks for Jaguar, Toyota, Swindon Pressings, Nissan, Stadco, Sertec, Keystone Lintels and Legrand Electric. The strikes will cause significant disruption to the factory’s operations.
After a week of strike action, Unite’s regional officer Nathan Allen confidently said: “Our members resolve is rock solid. ArcelorMittal needs to return to negotiations and put forward an acceptable offer or this dispute will continue to escalate.”