Unite is preparing to escalate industrial action at Port Talbot and Newport Llanwern steelworks after Tata Steel UK threatened to reduce redundancy pay in response to the union’s plans for action short of strike.
Tata has told workers that neither the general election nor its outcome will affect plans to close its blast furnaces and that industrial action could accelerate plans.
Around 2,800 jobs could be culled at the plants, and 1,500 Unite members and 3,000 Community members have voted in favour of industrial action in recent weeks.
Unite said the steelmaker’s closure plans are a direct rebuff to the Labour Party, which is committed to creating a £3bn investment fund to preserve steelmaking in the UK.
Tata Steel closures
On Thursday. Labour leader Keir Starmer said on Tata: “I will fight for every single job and fight for the future of steel in Wales.”
Unite general secretary Sharon Graham said: “Unite and its members will not tolerate Tata’s bully-boy tactics and neither should Labour. The union is now preparing to escalate industrial action in direct response to the company’s threats.
“The company is trying to hold the country to ransom, while needlessly throwing thousands of workers on the scrap heap. If Tata is not prepared to do the right thing, then an incoming Labour government must ensure it does.
“Tata’s actions show the fundamental problem with private multinational companies owning the UK’s foundation industries. It has no concern for the long-term economic damage and harm its action will cause in the UK.”
Tata has been negotiating with three unions (Unite, GMB and Community) on the UK Steel Committee (UKSC) and has offered to substantially enhance support for employees facing redundancy.
But in a letter to all employees, Tata Steel chief executive Rajesh Nair said he was extremely disappointed to have received notice from Unite last week for action short of a strike from 18 June.
On Friday, Nair wrote: “As you are aware, we have written to Unite several times since the start of their ballots, including as recently as the start of this week, to re-iterate the substantial irregularities and errors in their ballots in Port Talbot and Llanwern.
“In light of the latest notice of industrial action, we will now discuss options for legal action on these irregularities. This would be with the intent for a court to confirm the errors, rendering the Unite ballots and their outcome invalid and therefore that any industrial action taken on the back of the ballots would be unlawful. Any employee taking unlawful industrial action could render themselves in breach of contract.”
Unite believes that the threat of speeding up the closure of the blast furnaces is the latest part of Tata’s plans to turn Port Talbot into a “satellite site”, while it imports steel from India and other overseas operations.
Peter Hughes, Unite secretary for Wales, said: “Workers will not be blackmailed. Unite never takes a backward step in supporting our members in their fight to preserve their jobs pay and conditions and the workers at Tata have the union’s complete support.”
A spokesperson for Tata Steel said: “The enhanced package will remain in place unless industrial action is taken, in which case it would revert to our standard terms. In light of the ongoing impact on the business, the potential for further disruption, and in order to ensure safe and stable operations, we are now considering bringing forward the dates for the closure of Blast Furnace 5 and the winding down of operations across the wider heavy-end.”
“We are asking Unite to withdraw their call for industrial action and put the revised offer to their membership.”
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