BOSSES at global manufacturing giant Black & Decker have been branded tight-fisted Scrooges after cancelling a long-standing Christmas handout for ex-employees.

For more than 20 years the American-owned company has brightened up the festive season by sending out food hampers to former workers at its plant in Spennymoor.

But 400 pensioners hoping for the same gesture this Christmas were stunned to be told the hampers were being included in the cutbacks being made by the multi-national conglomerate to stave off competition from low cost imports.

Rival cheap labour markets in Asia and Eastern Europe were blamed for the firm shedding 950 jobs at Spennymoor.

Handing out the baskets of festive fare costs Black & Decker over £20,000 a year and Henk de Kort, European Vice President, Human Resources, has told the pensioners in a letter: "I am afraid that cutting back expenditure means that we will not be able to provide Christmas hampers any more."

Norman Button, a former chairman of Woodhouse Close Labour Party in Bishop Auckland, slammed the company's decision.

He said: "The pensioners are the people who were there when Black & Decker first started in Spennymoor and they were responsible for the success of the plant. It is a kick in the teeth for them and typical of a multi-national company who accept grants and then turn their back on loyal workers.

"Their letterhead says they are Investors in People but they are only interested in people who are investors."

Coun Bill Waters, leader of Spennymoor Town Council and a cabinet member on the Sedgefield Borough, said: "This in unbelievable. £20,000 is just a drop in the ocean to a company the size of Black & Decker but the hampers mean a lot to the pensioners. Some of them are not far above the breadline."

A company spokesman said: "The hampers were a good will gesture. The current situation at the plant means we cannot carry the costs of this scheme.

"We recognise the thanks we owe to our retired employees and we have received support and understanding from them and our current employees on this issue."