Tata Steel’s Long Products business is planning to restructure its management and administrative functions at sites in Scunthorpe, Teesside and Workington, which could lead to the loss of around 500 jobs. About 340 positions could be affected in Scunthorpe, 90 in Workington and 40 in Teesside. The proposals come amid a prolonged downturn in demand for some of the key products made by the Scunthorpe-based business, including the UK market for construction steel, which is about half of 2007 levels.
A consultation process will begin soon with affected employees and their representatives. The company assured to make every effort to achieve the job losses through voluntary redundancies, though it has to retain critical skills. A comprehensive range of redundancy packages and outplacement support services will be made available to those leaving the company.
In addition, Tata Steel’s subsidiary UK Steel Enterprise, which has regeneration teams in North Lincolnshire and the North East, will look at how it can provide more support to the local communities affected by today’s announcement and help stimulate new job creation in those areas.
