Unions back decision for MPs to quiz Kraft executives over Cadbury takeover
Union leaders have welcomed confirmation that executives from US food giant Kraft and Cadbury are to give evidence to a committee of MPs on the takeover of the chocolate firm.
Marc Firestone, executive director of Kraft Foods, Trevor Bond, president of Cadbury, and Richard Doyle, human resources director of Cadbury, will be questioned by the Business Select Committee next Tuesday.
Kraft has come under attack after going back on a pledge to keep open a Cadbury factory near Bath which will now close with the loss of 400 jobs.
Jack Dromey, deputy general secretary of Unite, who will also give evidence, said: “Parliament is right to call Kraft to account. It was wrong that a debt-laden American multinational took over a successful British company.
“It was wrong that Kraft misled Cadbury workers and the public, only to break their promises within seven days. Kraft must now give cast-iron guarantees for the future and Parliament must introduce a Cadbury’s Law preventing hostile takeovers not in the public interest and the best long-term interests of household name British companies.”
A complaint against Kraft has been lodged with the City takeover panel alleging the US group misled Cadbury employees and investors during its battle for the Dairy Milk maker.
A local campaigner and Conservative Party candidate wrote to the panel complaining that they believe Kraft breached takeover rules when it pledged to keep the Somerdale factory open, only to change its mind soon after the £11.5 billion Cadbury deal was completed.