Golden Wonder makes potato chips and other snacks. They are also closing. For those of you unfamiliar with the term, administration is the same as receivership or Chapter 13 bankruptcy proceedings. Golden Wonder is a privately held company.
For those of you in Cleveland, they're not much bigger than Tom's.
The story is notable specifically for a few lines down near the end of the article:
Usdaw divisional officer Gary Holz said: "The union was only informed today that the announcement was being made and as you can imagine our members have been left absolutely devastated.
"Many of them are in tears and are wandering round in shock trying to come to terms with losing their jobs despite having done nothing wrong except work hard to keep this plant alive."
*Sigh.* It seems that unions never tire of this argument, and what's worse, the public only occasionally rouses itself from slumber to examine the claim and evaluate it. I suspect that there possibly are some cases where factory workers care about the company they're working for, but my experience working in factories indicates otherwise.
First off, there is no easy way in most industrial plants to feed back to decision making management ideas about improvement of the operation. Plant managers are going to be disinclined to listen to workers from the line in any event, so such feedback mechanisms would be wasted.
Second, I'd doubt that there are too many workers at the Golden Wonder factory who are skilled labor. Factory jobs tend to not be skilled labor; just about anyone can do them.
Third, it's better for all workers in Britain if inefficient places close and more efficient ones buy the resources of the old plant and re-use them more efficiently. That's how economies grow; people stop making candles and start making lightbulbs.
I'm not arguing that widespread unemployment can't happen; it does happen. But labor mobility and a churn of resource from inefficient industry to efficient industry keeps structural unemployment low. So the folks who are devestated have the story back to front. They should be happy that their plant is closing first, because it gives them a head start on finding new and better jobs.