Tata Steel to cut 900 jobs in UK
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The company's proposals include the restructuring of management and administrative functions which would lead to the loss of 500 jobs at Tata Steel's Port Talbot-based production hub in South Wales.
Similar restructuring programmes were initiated last year at the company¿s other two production hubs.
The company is proposing to make changes at a number of steel finishing and processing sites in the UK that would improve its product and service offering for customers, the statement said.
"These changes would concentrate services at six distribution and processing hubs which would benefit from 22 million pounds of new investment and new employment, but would also lead to the closure of 12 sites, including Tafarnaubach and Cross Keys in South Wales," it added.
In addition, shift levels at the company's Rotherham and Hartlepool operations will be reduced to match production to lower demand for bar products and pipelines.
Kohler said that apart from support to local steel communities through subsidiary UK Steel Enterprise, "we will strengthen this work with a further 650,000 pound to help them create new jobs in affected areas".
UK Steel Enterprise has teams in all the affected locations who, for almost four decades, have helped to regenerate local economies and create 70,000 new jobs in the UK, he said.
"We will do everything we can to reduce the impact of the proposals on employees and, where possible, we will look to achieve job losses through voluntary redundancies," he added.
Michael Leahy, General Secretary of the Community trade union and Chair of the trade unions Steel Committee, said: "We will be seeking an urgent meeting with the company to ensure our principle of no compulsory redundancies is upheld...".
Terming the proposed job losses as "symptomatic of the continuing failure of the Government's economic policy," he said the union has called on the British government to take urgent action to stimulate economic growth and help revive the manufacturing sector.