Stoneywood Papermill workers to receive payouts

Over 300 workers from Stoneywood Papermill will receive pay-outs totalling £1.2 million after winning a legal battle.

In September 2022, 301 employees at Aberdeen's last papermill in Dyce were made redundant after the company entered administration.

Unite the Union took legal action against former owners Arjowiggins Scotland Ltd over its failure to hold a consultation period in a redundancy situation.

Today, the union confirmed each worker will receive a compensation award likely to be in the region of £4,000.

Unite general secretary, Sharon Graham, said: “It’s terrible news when any company goes into administration and workers lose their jobs.

"However, when a company like Arjowiggins fails to obey the law, then Unite will hold them to account.

"We are pleased to finally secure some justice and financial compensation for the Stoneywood paper mill workers.”

Mark Lyon, Unite legal officer said: "Unite is delighted that the employment tribunal has handed down judgements in favour of around 300 Unite members.

"This highlights that when a company behaves illegally, then Unite will use every legal avenue and tool possible to secure justice.

“The final compensation amount is likely to be around £1.2 million meaning the average award per worker will be around £4,000.

"Let this decision be a stark reminder to all companies, if you fail to abide by the law, then Unite will fight you every step of the way.”