Clive Betts MP [Sheffield South East] is meeting representatives from Vion after the food company announced that it had started consultations on closing its Sheffield sausage business with the loss of 205 jobs.
Vion has proposed that its food production in Orgreave Close, Handsworth, Sheffield is transferred to Vion Hall’s in Broxburn, West Lothian. Vion cited a challenging trading climate and fierce competition as the reason for the restructuring, but said that the commitment its employees in Sheffield has never been in question.
Clive Betts said today:
“This is a massive blow to local jobs and local industry. It will precipitate further Sheffield job losses at Vion’s local suppliers and in the local economy.
I am now meeting Vion's representatives to explore alternatives to their current proposals or, at the very least, ensure that every assistance is being given to employees in finding new jobs.
Vion has said that the commitment of its Sheffield employees has never been in doubt. Further, that its rationalisation proposals are being driven by fierce competition and the overall state of the economy.”
Clive Betts continued:
“This announcement is further evidence that the Government is cutting too hard and too fast.
This Conservative-led government is going further and faster with deficit reduction than any other major economy in the world, and on a foundation of stalled growth and higher unemployment.
When Labour left office a year ago, the economy was turning a corner, with unemployment falling and the economy starting to grow strongly. That meant the deficit came in £21bn lower than forecast. Twelve months on, Britain’s economy should be growing strongly and unemployment should be much lower.
But this government’s economic strategy has meant that Britain’s economy over the latest six months has grown by a paltry 0.3% compared to growth of 1.8% in the previous six months.”
Clive Betts concluded:
“This announcement provides further evidence to disprove the theory that public sector cuts will create private sector jobs. The reality is that our city is losing jobs and investment in both the public and private sectors as a result of the government’s economic policies.”