Tata Steel told its workers that it may have to close down the steel plant at Port Talbot earlier than expected due to a strike.
The company planned to close one blast furnace by the end June, and the other by September. Tata has told workers in south Wales that it plans to stop operations by 7 July due to the strike of Unite members, which begins the next day.
The company stated that the strike had made it impossible to guarantee sufficient resources for safe and stable operation. Tata Steel’s spokesperson stated: “In the days to come, if it is not possible to ensure that our assets are operated in a safe and stable manner during the strike period, we may have to stop or pause heavy end operations on the Port Talbot Site (including the two blast furnaces).
“That’s not a choice we would make lightly. We know it would be extremely expensive and disruptive for the entire supply chain. But the safety of the people at our sites or in the surrounding area will always come first.”
Unite announced the strike to protest plans to switch from a more environmentally-friendly way of producing steel that would result in the loss of thousands jobs. Sharon Graham, the union’s general secretariat, stated: “Unite fights for the future steel industry.” Labour has committed to a serious investment in order to protect jobs. Tata’s announcement to close or pause their blast furnaces 3 months earlier than planned is the latest of a series of threats we will not be deterred by.
The Unite campaign does not aim to sell jobs. It is about securing a long-term future for steelmaking in the UK, and this includes thousands of workers from Port Talbot in south Wales.
We call on the decision makers of Mumbai to seize this dispute, sit at the table, and negotiate, and realize that the investment will be good for both the company and the workers.
Charlotte Brumpton Childs, GMB’s national officer, stated: “This is an unfortunate day for steel.” Tata should rethink this irreversible move and protect its steelmaking assets. In a few days, there will be a general elections that could alter everything.
“We are confident that the steel industry in South Wales has a bright future. This future must be protected. GMB’s members will decide the next steps.
Community and GMB are also opposing the plans, but have ruled industrial action out before the general elections. The unions are expecting an incoming Labour Government to hold urgent talks with Tata in order to discuss alternative proposals to Tata’s.
Tata has stated that it will continue to invest in the project and switch from blast furnaces to an electric arc furnace, which is a more environmentally friendly option. The company claims it currently loses £1m per day in Port Talbot. This is not sustainable, it warns.
The company offered a redundancy package that was enhanced to those workers who were affected by the plans. However, this was reduced when Unite members began industrial action in lieu of a full-scale strike at the beginning of this month.
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