NESTLÉ LAYS OFF 94 WORKERS AT ONE OF ITS UNITED KINGDOM PLANTS

Switzerland-based Nestlé announced that it will lay off 94 Nescafé plant employees at its Nescafé plant in Tutbury (UK), one of three in Europe dedicated to the manufacture of Dolce Gusto capsules, for which demand has fallen following the end of the pandemic.

A spokesperson for the multinational confirmed this decision to the Swiss agency AWP, adding that it is in talks with the affected staff and that the closure is due to “a significant drop in demand for Dolce Gusto products, which has left several production lines unused or with low activity”.

In 2011, the Tutbury factory was modernized and expanded with £110 million capital and by 2016 had 1,000 workers daily producing 35,000 tons of coffee a year for 70 countries.

The factory was built in 1901, initially for the production of condensed milk, although in 1959 it was reconverted for the manufacture of Nestlé’s soluble coffee. After a growth in the market for coffee in capsules and similar formats during the pandemic, in 2020 and 2021, the sector has receded, due to the return to outdoor consumption of this beverage.