
The United Kingdom could soon be looking at a summer wine shortage, following a weeks-long strike involving more than 200 workers at one of the country's largest bottling plants.
Should the dispute drag on, it's likely to have wide-ranging impacts on the U.K. wine industry. Supply chain management consultancy Inverto estimates that Encirc's Bristol facility, where workers went on strike on June 19, bottles 300 million liters of wine annually, with the company holding a 40% share of the U.K.'s beverage bottling market, while supplying 18 of the country's 20 wine brands. The consultancy says the situation is "another warning to businesses to take steps in-order to better mitigate against disruptions in the supply chain."
Workers with Unite — the union representing bottling plant employees for Bristol-based glass filling and distribution company Encirc — plan to remain off the job until July 5. The union says that, after that, it will institute a 12-week ban on overtime. According to a June 18 release from the union, Encirc recently offered workers a 3.2% pay increase, and sought to tie future raises to inflation. Following Encirc's offer, the union criticized the company for failing to formally negotiate on the proposed raise, and claimed that Encirc management has "constantly refused to engage meaningfully" on talks.
“There’s no doubt that this action will hit supermarket shelves," Unite regional officer John Sweeney said in a June 18 release. "While shortages may be frustrating for customers looking to enjoy a bottle of wine this summer, the situation is entirely of Encirc’s own making."
In a statement to BBC News, Encirc asserted that it "firmly believes our offer was fair and proportionate," and that it remains open to a dialogue with Unite "in good faith."
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