close
close

Strikes at Tata’s Port Talbot steelworks called off after closure date changed | Business news

Strikes at Tata’s Port Talbot steelworks called off after closure date changed | Business news

The move was welcomed by the Community union, although Unite described Tata’s early closure as “the latest in a long line of threats that will not deter us”.

From Sarah Taaffe-Maguire, business reporter @taaffems


Monday, July 1, 2024, 5:45 p.m., United Kingdom

A planned strike at the Port Talbot steelworks was suspended after the Unite union announced that new investments were planned.

Unite is suspended its industrial actionit was said after it was announced on Thursday that the Indian conglomerate Tata in response to Close the site earlier than initially announced.

The talks over the weekend resulted in a “significant development” in the form of an agreement with Tata to discuss future investments and not just layoffs, the union said.

The closure date is now July 7, one day before the previously planned strike and about two months before the originally announced date in September, which envisaged the closure of the last blast furnace for steel production.

Up to 2,800 jobs are to be cut – 2,500 next year and a further 300 in three years – despite a £500 million cash injection from taxpayers to support the site’s transition to more cost-effective and environmentally friendly steel production and thus reduce emissions.

The first steel blast furnace was scheduled to close at the end of June to reduce carbon dioxide emissions from Britain’s largest CO2 producer.

The existing fossil-fuelled blast furnaces are be replaced through a single arc furnace.

Tata Steel’s Port Talbot plant is the largest single emitter of carbon dioxide in the UK.

Union reaction

Unite members went on strike in protest against job losses and the impact on the local community.

Unite general secretary Sharon Graham described Tata’s decision to close early last week as “the latest in a long line of threats that will not deter us”.

“The strikes will continue until Tata stops his disastrous plans,” she said on Thursday. A ban on overtime had already been in force since June 17. Both measures have now been suspended for further talks.

Another union representing Port Talbot steelworkers welcomed Unite’s suspension of industrial action and the fact that it was “back at the negotiating table with sister unions in the steel industry”.

Follow Sky News on WhatsApp

Stay up to date with all the latest news from the UK and around the world by following Sky News

Press here

Alun Davies, national representative of the steelworkers’ union Community, said Tata would resume talks if the strike was called off.

“The truth is that Tata has never given up on these talks and at our last meeting on May 22, all unions agreed to conclude the negotiations and present the outcome to our members. The community will welcome a resumption of these talks but we regret that no progress has been made since May 22.”

This is a limited version of the story, so unfortunately this content is not available.

Open full version

Sky News understands that the final closure will now take place in September following the pause in industrial action.

A Tata Steel spokesman said in a statement: “We have received written confirmation from Unite Union that they are suspending their current non-immediate strike action and potential strike action due to begin on Monday 8 July with immediate effect.”

“As we are now confident of having the necessary resources to operate safely, we will therefore cease preparations for the early shutdown of Blast Furnace 4 and the wider heavy furnace end at Port Talbot planned for this week. We welcome the fact that we have not had to go further down this path.

“The resumption of talks with the UK Steel Committee will build on the position reached at the last meeting on 22 May. The focus will be on the future investments and objectives for the company, rather than on renegotiating our existing plan for heavy-duty plant closures or improved terms for employment support.

“The dismantling process for blast furnace 5 has now started as planned and we expect to be able to produce the last iron by the end of this week.”