The Meat Industry and Transport Logistics Associations have sent a letter to British Prime Minister Boris Johnson warning of potential supply chain disruptions due to labor shortages.
Despite the fact that a significant part of the personnel at processing plants are from other countries, the UK government offers potential returnees a £3,000 exit allowance.
In a joint letter to the Prime Minister, industry associations note that while meat industry wage rates increased by 10% in 2021, the number of unfilled vacancies has increased fivefold. This pattern is observed throughout the supply chain. If the trend continues, then gaps in the logistics system are inevitable, and, consequently, an increase in prices for meat products.
British Meat Processors Association (BMPA) chief executive Nick Allen said in an interview with ITV that he had never before gotten to the point where the heads of large companies turned to him with appeals: “Nick, we have to do something! We need to convey to the government and people the understanding that we have only a few weeks left before the crisis! One gets the impression that we are racing at full speed in a car towards a blank stone wall.
Opinion leaders in the food and logistics industry claim that the number of unfilled vacancies has already exceeded 100,000, and the current immigration policy does not make it possible to fill this gap. Moreover, the government is ready to pay workers from the European Union who did not receive a residence permit by June 30 to return to their homeland - and thereby aggravates the situation on the labor market.