Union opens ballot over industrial action as Arla condemned over Settle Creamery closure decision

A union spokeswoman said: “A decision will be made based on the results if we have the support from the workforce for action. Should this be the case, we will move to a formal ballot.”

Despite efforts by the union, Skipton and Ripon MP Julian Smith, North Yorkshire Council, Cllr David Staveley and North Yorkshire and York Mayor David Skaith to propose viable alternatives, Arla has confirmed it will push ahead with relocating operations from the Sowarth Field Industrial Estate factory to Lockerbie in Scotland.

Arla, which has a base in Stourton, Leeds, said the closure of the Settle plant was part of its strategy to consolidate operations.

An Arla spokesman said: "We remain committed to being a major employer in the Yorkshire region.”

Options presented to Arla to save the jobs in the town have included a move to a greenfield location, product diversification, and shared production use of the Settle facility.

It comes just a year after Arla announced it had recently completed work at the creamery aimed at “significantly increasing output at the site” as it responded to residents’ complaints over a smell likened to “weeks old sour milk”.

The plant has been a key employer in Settle since it opened in 1965, when the milk was delivered in churns, a practice that continued until the 1970s.

Community leaders said they were not optimistic the site would be taken up by an alternative user which could offer similar levels of employment.

Sir Julian said: “This decision by Arla is a huge blow to the workers at the Settle Creamery and the wider community. The loss of 130 skilled jobs will have a significant impact on our local economy and the livelihoods of many families.

"It is deeply disappointing that Arla has chosen to continue with their move to Lockerbie before they have fully explored the options North Yorkshire stakeholders have put forward.”

Cllr Staveley said Arla had been presented with an influential group which “could have brought pressure to bear” to approve a factory where operations could expand in the mid-Craven area, but had “not shown a real commitment to that opportunity”.

He said while Arla had been told numerous potential sites were available, its relocation to Lockerbie would create logistical issues, meaning milk would need transporting “up the motorway from an area like this which is quite rich in dairy farming”.

Cllr Staveley said the looming absence of a dairy in the area seemed strange, adding: “Funnily enough Drax power station was built where the coal was.”

Deanne Ferguson, GMB organiser, said the union was “extremely disappointed Arla has chosen not to take forward any of the alternative business cases put forward through a genuine and collaborative effort with key stakeholders”.

"Our commitment to the workers at Settle remains absolute and we will not let the town lose 130 skilled jobs without a fight. We urge Arla to keep the door open for further dialogue and GMB remains ready to work constructively with management."