Hovis Drivers Set to Strike in UK as Unite Warns of Bread Shortages

Unite says a strike by Hovis distribution drivers planned for this week in southwest England will cause bread shortages in affected parts of the UK.

The walkout is scheduled for Thursday, Sept. 24, at the Hovis plant in Avonmouth, Bristol. The union warned that deliveries of bread, buns and muffins could be disrupted as far away as the West Midlands.

Hovis Bakeries, the unit formed by Associated British Foods (ABF) after this year’s acquisition and integration of Hovis with Allied Bakeries, disputed Unite’s claim that the strike will lead to shortages.

Plans are in place to minimize any impact on our retail customers and we don’t anticipate there being any significant or lasting shortages as a result of the action, a spokesperson for Hovis Bakeries told Just Food.

The union said about 60 Hovis Bakeries distribution drivers from Avonmouth will take part in the walkout, which could continue indefinitely if a pay agreement is not reached. It said thousands of loaves of bread are made at the site each hour.

Hovis Bakeries has offered the drivers a 3% pay increase, but Unite said that is insufficient given the retail price index inflation rate of 3.4%.

Unite is also seeking a settlement in line with extra benefits offered to Hovis drivers at the company’s Belfast plant in Northern Ireland.

Those benefits include a commission of 2 pence per product for all goods sold, along with a premium pay rate during public holidays of 50% above the contracted basic hourly rate for employees who work on more than five designated holidays, including Boxing Day and New Year’s Day.

Unite general secretary Sharon Graham said in a statement: Hovis is owned by an incredibly profitable company and can more than afford to pay the same rates to its Avonmouth workers. Instead of favoring one group, it needs to stop prioritizing greed and extend benefits to other workers.

Asked to comment on the strike by Just Food, Hovis Bakeries pointed to the difficult trading environment in the UK bakery sector in recent times.

Higher energy prices following Russia’s invasion of Ukraine in 2022 and the more recent blockade of the Strait of Hormuz have made it particularly challenging for bakery manufacturers to operate baking ovens and driver fleets.

ABF put its Allied Bakeries unit, which included the Kingsmill and Sunblest brands, up for review in April last year because of a very challenging market marked by lower volumes and operating losses for the parent company.

Four months later, ABF acquired Hovis in a deal cleared this year by the UK competition watchdog, which had warned that Allied Bakeries could collapse if the transaction was not approved.

On Sept. 22, a Hovis Bakeries spokesperson said the 3% pay increase offer is fair and responsible after negotiations with Avonmouth drivers that have been underway since April.

We’re disappointed that some of our employees are now planning on taking industrial action, especially given the well-publicized economic challenges facing the UK bakery sector, as well as the important work that is underway to bring together Allied Bakeries with its recently acquired Hovis business, the spokesperson said. We remain focused on reaching an agreement that works for everyone and negotiations continue with our employees and their union representatives.

This article was originally published by Just Food, a GlobalData-owned brand.