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'Union writes to 37,000 licensees in "strike" ballot'
29 November, 2009
Your weekend press round-up
“Trade union the GMB is writing to 37,000 publicans urging them to join it and vote in a ballot over industrial action it says will be a 'strike' at tenanted pub companies such as Enterprise Inns and Punch Taverns. The GMB is to 'seek a mandate for official industrial action', which it hopes will achieve 'very substantial cuts in wholesale prices and a resolution to a wide range of grievances experienced by the tied tenants'. Meanwhile a protest is planned this Thursday at The Globe pub in Letchworth, which two months ago was named the most improved pub in North Hertfordshire by CAMRA. Tenants Brian and Alison Forgie have been given ten days to quit by Punch. The couple, backed by anti-pubco group Pub Revolution, say they are being treated harshly by Punch for buying beer off-tie just once, and will refuse to leave the pub.” – Daily Mail
“All cans and bottles of booze must carry health warnings by law from next year. The drinks industry will be forced to give alerts on beer and spirits just like those on cigarette packs. Public Health minister Gillian Merron will announce next month the government has lost patience with a voluntary initiative. She said: ‘We are working with the industry to include units, drinking guidelines and pregnancy warnings. Where progress on industry's voluntary commitments is slow we can expect to legislate.’" – Sunday People
“People charged with assaulting hospital staff after drinking in Swansea are to be banned from the city's pubs and clubs over Christmas. It is part of the Safer Swansea Partnership annual ‘Call time on violent crime’ initiative. It will see an exclusion zone set up which will ban people who have been charged with assaulting hospital staff from drinking in the city centre.” – BBC
“The London Ambulance Service has set up a booze hospital for festive revellers a week earlier than last year. The emergency facility is at Liverpool Street Station to treat patients who are drunk or have minor injuries. Duty Station Officer for City and Hackney Nick Lesslar said: ‘Every minute that we spend mopping up vomit, is a minute that could have been spent helping a patient who is seriously ill or injured’. The temporary marquee will be open from 3pm until 3am Thursday, Friday and Saturday nights until Christmas.” – Sky News
“The billionaire currency trader Joe Lewis has blocked the appointment of Archie Norman as chairman of Mitchells & Butlers (M&B), the £1bn pub group. Lewis, who holds almost 23 per cent of M&B’s shares and also owns Tottenham Hotspur Football Club, opposed the move, and used his influence as the group’s largest shareholder to ensure Norman would not be given the job. There are growing fears among analysts that Lewis is in effect gaining control over the group without making a takeover bid for it. He bought his stake from Robert Tchenguiz, the property mogul, in the wake of last year’s banking crisis. M&B is looking for a new chairman after Drummond Hall decided to step down after only 18 months in the job.” – Sunday Times
“A planned sale of poets' portraits from one of Scotland most famous writers' watering holes has sparked anger that a vital piece of the city's literary heritage is disappearing for good. Drawings of legendary writers like Hugh MacDiarmid and Norman MacCaig have been removed in what a spokeswoman for Punch Taverns, the chain that now owns Milne's bar in Edinburgh’s New Town, said was one of its corporate ‘sparkle’ refurbishments, to refresh the pub for Christmas.” – Scotland on Sunday
“Several pub brewing groups are due to announce their latest financial results this week. Greene King and Marston's have been strong performers despite recession, although clouds are gathering on the horizon for the sector next year. Analysts expect Greene King to report full-year profits of £123m for the group, three per cent ahead of the previous year, while Marston’s is expected to announce pre-tax profits of £70.4m for the year to September, down from £85m previously.” – Press Association
Readers' comments
SteveW, you have a consistent habit, like Ken Nason, of imagining your opinions become facts. You THINK, there are 30 tied pubs around you that are making a profit. Do you expect them to advertise and proclaim the fact that they are not?
Fair comment Steve. But you read it thank you. Many more will and that is a success.
37,000 pieces of junkmail destined to be filed in bins all over the land. Just think of the TREES that this has cost !
Paul - A mailout is hardly a success? Surely the success comes from the amount of members they receive due to that mailout? I actually received mine this morning. To be fair to them, it's quite a professional looking newsletter, it's just a shame that the partner website isn't quite so professional (pictures of clenched fists with "comrades" written over them is not quite the reality of 21st century UK)! There are two points I'd make - Firstly, they conveniently do not mention membership fees anywhere (although kindly provide a direct debit mandate)! Secondly, they quote a total of GBP 300Million 'owing' to tied tenants and then list the combined profits of the major Pub Cos as GBP 1465Million (2008). If we assume most of the gripes are with the 'big two', whos combined profits are just over GBP 1billion, then that means they're hoping to get back approx. 30% of all profits from these Pubcos? If you actually deduct their tax from these profits, and allow for 2009 being much lower than 2008, it's probably closer to 50%? A realistic campaign?
It's surprising that the GMB did not consider sending licensees 37,000 ash trays instead of paper. However, this would make it more difficult for posties to deliver and could have the unfortunate side effect of attracting more customers.
Congratulations GMB on another success in completing this comprehensive mailout. Now tied tenants have a real voice.
Roger - please save the extreme pedantry for your replies to Ken, as I doubt I could contain myself quite as much as he does!! OBVIOUSLY I don't see the P&L for any other pub but one can make various fairly safe assumptions about the solidity of another business (for example, if the licensee is buying a 2nd or 3rd lease, or if the licensee is investing in capital works, or how abaout the licensee just chatting casually to you about their business - as should be obvious on here, licensees are not slow to complain)!! I'm sure I don't have to spell this out to you, you were just being your usual deflammatory self :o)
No ant it isn't unfair because it is a business run by the licensee based on a freely signed contract which enables that person to trade. Now if what you say is true then all of the Pubcos will go out of business and all of the tenants will be estatic and make loads of money and live happily ever after. Time will of course tell. If you have joined GMB just give head office a ring and ask them what they think will happen when their actions are successful(as they keep telling everyone) to all of the tied tenants and their businesses post collapse. Please let us know (and other members ) what they say. Also just think that the Pubcos might just want this type of action to enable them to dispose of the troubled pubs quicker than they planned. Let's face it the majority of tied lessees who are calling for action are in bottom end pubs that are in trouble. As they keep stating "we have nothing to lose". Just be careful that you do not give the landlord the weapon they wish for ....YOUR PUBS. Ken Nason
THE PUBCO MODEL is unfair,what people do not understand is that if it does not change,all the pubco pubs will close,they have been exsposed for their unfair contracts,that are ending in tears for many tennants,GMB ARE TRYING TO SAVE THE BRITISH PUB,
All fine & dandy - but for every extra pint sold the gredy pubco makes more than me. Why bother?
So SteveW can think of at least 30 tied pubs locally that are making a profit? Well done Steve. Do these pubs send you their P&L accounts - or do they keep their businesses financial affairs private? Never let the facts get in the way of your prejudices eh Steve.
Banned - it's funny that, because I can think of, hmmm, 30 pubs almost off the top of my head that ARE PubCo pubs and ARE making a profit? I'm sure most other licensees can do the same?
'banned', if your pub is that good, you shouldn't have a problem selling more beer to make a better profit.
Check your local council website - that's where it is, if you know how to look! And Mr Wilson - a lot of us have, or had, very good pubs, it's just not possible to make a net profit due to the greed of pubcos.
Comrade Smithers - how about the revolutionary idea of just running a good pub? No, I thought not, it'll never catch on...
"Ken Churn" that's brilliant ! I wish I had thought of it ! d smithers, pub revolution, GMB
Steve W, please try to keep up, the GMB helped taxi drivers to strike and win many cases, we shall be doing exactly the same, very soon. And What will you be doing to save British Pubs ? http://www.thepublican.com/story.asp?sectioncode=7&storycode=65915
Ken Churn why on earth would you think that I want to do that? Ken Nason
The only problem with giving him that information 'banned', is that now he will use it to mailshot them to see if they want to sell their businesses, or require advice - now that the churn has ground to a halt!
Banned"as far as I am aware is not in the public domain for such use" Think you will find that there is no central list of personal licence holders(as origianally promised) so FOI would need to be addressed to each council independently and if I am not mistaken data protection act will not allow such informatio to be given out. Ken Nason
Strike ballot?? You're all self-employed, who the hell will you be striking against? This whole tied debate is becoming surreal and it just shows the dangers of throwing an undirected voice at whoever will listen...
Dear Ken, wrong again. It is possible to procure the details of Personal Licence Holders - FoI and all that, you'll find it on the local council .gov site. "Strike Action" may not be the answer but something has to be done to fight the greed of the pubco.
Blimey! Industrial Action!! Now the world of reality. On London Underground and avrious transport companies in the UK they can take action because there's no easy way of 'replacing' the strikers of action takers. Like you need licenses for bus , train and tube driving. Personally I find it shocking that people take action in these well paid service industries. Now licensed houses and the like are like dramatically disadvantaged. On one side you have people wanting to make money and on the other various quango's wanting you to close and waiting for every opportunity to do it! Is this for real I ask when in the history of the trade things have never been worse? Looks like a sucidal route and certainly one where any strike pay will fit not on a postcard but a postage stamp. Michael
Phil, sorry but when I say liensee I use it in the term of the person running the show or DPS as at the moment not just those holding a personal licence. I am sure that they will write to pubs as opposed to personal licence holders as that information, as far as I am aware is not in the public domain for such use.No one was denying anything just pointing out the anomolies of the piece. You know the normal inaccuracies we have come to love from those chanting for the downfall of the Pubcos. You know the ones who can't even offer any aftermath scenario other than everyone will be happy and rich. Ken
I suspect they've inflated their numbers by writing to all of the bar staff and bottle washers on their books. One can only wonder what form the 'industrial action' may take. If it's closing the pubs for a period, JDW and the freehouses will be pleased, if its not paying rent and buying out, the pubcos will be pleased because they can evict the culprits and put charging orders on their properties. I don't see even a crumb of hope for the tied licensees to be pleased.
Wonder how much the strike pay will be ----there will be strike pay wont there,answers on a post card please,
Good point Ken, but more like £1.50 per letter sent I am informed,so who payed for the £55,000 postage bill ? Not to sure where they got the list of licensees from either?
Ken a lot of pubs have two or more licensees, these will be counted. No amount of denial will stop these actions happening. change has to come, and come it will.
Something has to be done to stop this dreadful state of affairs. The pubcos will have to change their model, if they want to survive. The pubcos have treated their tenants in a disgraceful way for so long, and have been allowed to get away with it. Now tenants have had enough, it was bound to happen.
Desparate times call for desparate measures.Expect to see alot more press this week.
37,000 licensees. Didn't realise that there were that many tied tenants. Didn't realise that the GMB or its revolutionary trade wing, had that many members. There aren't and they don't, so what are they balloting them? It will be interesting to see just how many of these self employed union members are prepared to put their business into ruin to fight for the cause rather than their employers business which is usually the way round. It will be very interesting and I watch with hightening interest on how it will all work.(who pays the £15k postage bill?)