Unilever offers 1-year terms for non-EU staff in McCormick deal

On 16 September, global trade union IUF reported that Unilever offered transferred employees outside Europe one year of baseline pay and benefits protection in its deal with McCormick & Company.

The offer contrasts with a 29 July agreement with the European Works Council. That earlier deal granted two years of pay and employment safeguards to 4,800 European and British food operation workers, exceeding the standard statutory renegotiation period threshold of one year under European Union and British rules.

The workforce transition follows the 31 March agreement to combine Unilever Foods with McCormick. The merger values Unilever Foods at an enterprise value of $44.8 billion, creating a combined business with a total enterprise value of $65 billion.

Upon completion of the transaction, Unilever will receive $15.7 billion in cash consideration. Unilever shareholders will hold a 55.1% stake in the combined entity, McCormick shareholders will own 35.0%, and Unilever PLC will retain a direct 9.9% equity interest.