Seventy jobs are under threat at Diageo’s bottling plant in Leven after a slowdown in European orders.

European slowdown blamed for restructuring

Seventy jobs are under threat at Diageo’s bottling plant in Leven as the drinks company compensates for a slowdown in European orders.

A further 30 roles could go near Glasgow as a result of the restructuring, which comes after orders were lost at the Santa Vittoria plant in Italy.

It is understood that vodka and rum production will be moved to the former Cinzano factory, while work is also being trialled in the United States.

GMB Scotland organiser Louise Gilmour said: “We warned David Mundell (the Scottish Secretary) and the UK Government about the possible impact of Brexit on the future of jobs across our drinks manufacturing sector.”

Diageo made a £2.1 billion profit for the six months to 31 December last year, up 16% on the previous year.

A company spokesman said: “We have reviewed our spirits bottling footprint.

“Regrettably, these changes may impact some roles in our European bottling plants towards the end of the year and we will now enter a period of consultation with our employees and their representatives to discuss the proposals in more detail. We are committed to our three spirits bottling sites in Europe – two in Scotland and one in Italy.”

Finance Secretary Derek Mackay said last night the news was “deeply disappointing”, adding: “Reports that concerns over Brexit and our future relationship with Europe have played a factor in these job losses underline the serious threat which this poses to Scotland’ s economy and to employment.

“Scottish Enterprise is engaging with the company to explore all possible options for supporting those affected.

A UK Government spokesperson said: “We have been in contact with Diageo and understand the company has begun a consultation with staff about proposed operational changes that are not driven by the UK’s decision to leave the EU.

“The UK Government continues to support the Scottish economy and key sectors such as the drinks industry.”

Diageo is looking at its bottling footprint.