Tata halts Port Talbot furnace closure plan

Wednesday 03rd July 2024 06:55 EDT
 

Tata Steel, owner of the Port Talbot steelworks, has decided to postpone the immediate shutdown of both blast furnaces at the plant following the cancellation of a strike by Unite. 

However, despite this reprieve, the company still plans to proceed with cutbacks that will result in the loss of 2,800 jobs later this year. Unite members were set to begin strike action on 8 July, shortly after Tata Steel, owned by an Indian conglomerate, initiated a gradual winding down process that will ultimately mark the end of over seven decades of steel production from scratch at the facility.

Unite announced the cancellation of the strike after Tata Steel's UK head, Rajesh Nair, reached out to the unions over the weekend, offering further discussions on future investments at the Port Talbot site, beyond just job cuts. Unite confirmed that Tata had agreed to engage in negotiations regarding future investments in its operations, not limited to layoffs.

Sharon Graham, Unite's general secretary, emphasised the importance of securing investments through negotiations facilitated by Labour, stating that this breakthrough was a testament to the determination of Port Talbot workers to safeguard their jobs and community.

Initially, Tata Steel had planned to start shutting down blast furnace No 5 this week, with No 4 scheduled for closure in September. The acceleration of these plans was in response to the strike threat from Unite, citing safety concerns due to inadequate staffing.

Tata Steel confirmed that the wind-down process for blast furnace 5 has commenced, with the final iron production expected to conclude by the end of this week.


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