Tata Steel rejects plan to avoid thousands of job losses as unions threaten strikes

A steel worker outside the UKs largest steel works in Port Talbot, South Wales

Steel giant Tata says that plans for its biggest UK plant would secure the future of steelmaking.

Unions are not backing down and continue their plea for the company to halt its current proposals for the South Wales site, which will result in job losses. A spokesperson for Tata Steel said: “Our £1.25billion plan for a state-of-the-art electric arc furnace in Port Talbot would be the largest investment in this country’s steel industry in decades and secure the future of UK steelmaking.

“It would protect the majority of jobs, reduce the UK’s carbon emissions by five million tonnes a year and could kickstart a green industrial revolution in South Wales.

“We have been consulting union partners for seven months and have taken on board a number of their recommendations.

“However, the unions’ own analysis shows their proposal would cost the company at least an additional £1.6billion when it is already losing £1million a day. Their plans are also high risk and would jeopardise the transition to green steelmaking.”

Roy Rickhuss, Community general secretary, says Tata’s restructuring strategy is “reckless”. He said: “It weakens national security by removing Britain’s primary steelmaking capacity and it would have devastating consequences for steel communities in South Wales and beyond.”

“Our multi-union plan is a credible alternative to Tata’s destructive scheme. It would safeguard the future of Port Talbot steelmaking, protect all the downstream plants, save thousands of jobs and can be delivered with no compulsory redundancies.

“It is not too late for Tata to do the right thing and adopt the multi-union plan and we hope that they will take this step. However, should the company choose to reject it, we will fight them every step of the way.”

Members from the Community union are being balloted for strikes following Tata’s plans. Unite members have voted for industrial action.

“The company’s latest statement on the risks and costs associated with the multi-union plan is littered with inaccuracies.” said Community’s assistant general secretary Alasdair McDiarmid. “We acknowledge that Tata will make less money from our plan than they would from their decarbonisation-on-the-cheap strategy, precisely because that bargain basement deal is the cheapest possible option available to them.”