Pay deal reached at Encirc as strike action averts wine bottle shortage
Over 200 Unite members at Encirc’s Avonmouth site in Bristol have accepted a new pay and conditions package, bringing to an end a dispute that raised fears of a UK wine bottle shortage.
The workers, who produce and package glass bottles used by major supermarkets for wine, began a period of targeted industrial action in June, continuing into early July. In response, Encirc returned to negotiations, ultimately agreeing to an enhanced offer.
The new agreement includes a 4.4% pay increase backdated to January 2025, a one percentage point rise in pensions (also backdated), and improved overtime terms. From now on, double time will apply between 19:00 on Fridays and 07:00 on Mondays. The redundancy and sickness policies have also been upgraded.
Unite general secretary Sharon Graham praised the outcome, saying: “This is an excellent result for our members at Encirc, who by being prepared to take strike action have secured far better pay and conditions. This result shows how Unite’s laser-like focus on jobs, pay and conditions delivers for our members.”
A major sticking point in the dispute was the company’s proposal to cap future pay rises to the October CPIH inflation rate. This clause has now been dropped, preserving Unite’s ability to negotiate on behalf of its members.
Overwhelming support for the deal
Unite regional officer John Sweeney confirmed that more than 90% of members voted to accept the offer.
“This was a vitally important dispute as not only have members secured an improved pay deal but ensured they can continue to fully negotiate in future,” he said.
Partner Content
Sweeney told db that the deal marked a meaningful shift: “Long term, I feel the deal was accepted not just because of the percentage put on the table, but because the deal moved the business away from their hard line stance of only receiving CPIH every year, which would have removed our collective bargaining and negotiating rights.”
He added: “The simple message from this dispute is that if workers want better pay and conditions they should join Unite and make sure their colleagues sign up as well.”
Background: Threat to wine supply
The dispute first made headlines in June when db reported that the strike could lead to shortages of bottled, boxed, and bagged wine on UK supermarket shelves.
At the time, Unite criticised Encirc’s proposed 3.2% pay rise and its insistence on CPIH-linked wage increases, arguing that it undermined the union’s negotiating rights. Graham accused the company of “greed not need”, citing Encirc’s turnover of more than £600 million.
Encirc, which is part of the Vidrala Group, expressed disappointment over the strike and maintained that its offer would have resulted in a more than 16% pay increase for the Bristol site over two years. It stated that few companies in the sector had done as much to uplift pay and conditions.
Encirc is a major player in the UK drinks industry, producing over three billion glass containers annually and filling up to 400 million litres of bulk-shipped beverages. Its customers include numerous supermarket and celebrity wine brands.
While Encirc pledged to mitigate disruption and continue discussions in good faith, the resolution of the dispute has brought relief to both the company and its customers, who had been bracing for knock-on effects to the UK wine supply chain.
Related news
UK supermarkets face wine shortage as 2,000 glass workers go on strike
