Dozens of workers at a Swindon warehouses that manage supermarket chain Iceland's stock will be going on strike this week.
Logistics contractor GXO operates sites at Symmetry Park and Penzance Drive that supply ambient, chilled, and frozen goods to supermarkets around the south west of England.
Industrial action by its staff could lead to disruption of supply chains to the firm's supermarkets in the region but Iceland itself said it was confident they would avoid any impact.
A spokesperson from GXO said: "We are not experiencing any disruptions to our service."
Unite members among the workforce have rejected a two-year pay deal offered by their bosses and instead opted for industrial action.
The union claims that the deal was below inflation and that GXO has refused to offer a fair pay rise to the workers.
GXO argues that its latest offer was fair and that it will be working with Iceland to minimise any disruption to supply lines that the strikes may cause.
Of the approximately 700 staff employed by GXO at Swindon sites, 144 will walk out of the warehouses from Thursday, December 14, to Monday, December 18, and then carry out further strike action between December 27 and 30.
It is claimed the action will impact supply lines to Iceland supermarkets and could cause a shortage on shelves and freezers as people stock up for their Christmas and New Year festivities.
Unite general secretary Sharon Graham said: “GXO is a multinational company with billions of pounds of revenue yet pays our members little more than the minimum wage.
“GXO has made a cynical choice to suppress wages to further boost its already gigantic profits. It needs to urgently reconsider its pay offer to the very workers who generate its income.”
Last year, Iceland made profits of £120 million.
Unite regional officer Paddy Brennan added: “GXO has refused to make an offer that meets our member's needs or expectations and now, in the run-up to their busiest period of the year, workers will be heading to the picket line.
“Unite will be backing our members in their fight for a pay deal that addresses the cost of living crisis they are suffering.
"Without them, Mum won’t be going to Iceland for Christmas this year.”
The Adver understands that GXO’s current offer involves a six per cent pay increase in the first from March 1, 2023, to February 28, 2024 (most of which would be back paid) that would be followed by a further 5.3 per cent pay rise in year two.
The company has also put forward a newer, enhanced offer that proposes bringing the year two pay award forward from March 1, 2024, to January 1, which is worth an average of £195 per person, and adding a 50 per cent increase to the £1 hourly incentive payments of staff who work in the freezer section.
The other four warehouses that GXO operates on Iceland’s behalf will not be affected by strike action.
A GXO spokesperson said: “We have listened to our colleagues and put a revised offer forward to Unite which offers extra cash to all colleagues and a higher incentive payment to those who work in the freezer area.
“We are disappointed Unite have not allowed their members a say on this enhanced offer, which we think is fair and reflects their concerns.
“We’ll continue to work with Iceland to ensure there is no disruption to supply chain over the festive period.”
An Iceland spokesperson said: “Iceland Foods is working closely with GXO regarding the industrial action at their Swindon distribution centre.
“Through our eight additional depots across the country, we are confident there will be no disruption to our supply chain over the festive period, and Iceland customers will have full access to our range of quality products at great prices over Christmas.”
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