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Government austerity measures biggest threat to UK ste...

Government austerity measures biggest threat to UK steel jobs, says Unite

23 May 2013

The biggest threat to jobs at Tata UK is the government's current austerity programme, Unite, the largest union in the country, said today (Thursday 23 May).

Unite was commenting on Tata’s financial results today which showed that Tata UK continues to run at a loss due to the downturn in the UK and other European markets.

Unite national officer Paul Reuter said: “We already knew that Tata had devalued the value of its assets and goodwill of its European operations by more than £1 billion.
 
“We have already seen huge job cuts at Scunthorpe and more are continuing at Port Talbot and elsewhere.
 
“The positive news is that Tata continues to invest in its UK sites and continues to support the UK sites financially. This was reiterated to us on Tuesday (21 May).
 
“I do not, at this point, anticipate any further job losses to be announced as a substantial reorganisation is currently under way. Part of this reorganisation will see an extension of the distribution site at Scunthorpe.
 
“Unite, GMB, UCATT and Community have called for a meeting of the Tata European Works Council select committee and will receive feed back from the CEO who is attending the Tata board meeting in India today. This will take place in London on Friday 31 May 2013.
 
“The trade unions will reiterate their commitment to work positively with Tata on the issues that are adversely affecting the business.
 
“What is required is a re-think on the UK's economic policies, as outlined by the IMF yesterday, and to kick start our manufacturing and construction sectors. The biggest threat to jobs with Tata UK is the government's current austerity programme.”

The Indian-based group employs more than half its 33,000-strong European workforce in Britain.

ENDS

For further information please contact Unite senior communications officer Shaun Noble on 07768 693940

Unite is Britain and Ireland’s largest trade union with 1.5 million members working across all sectors of the economy. The general secretary is Len McCluskey.