British Steel reported to have drawn up plan for 800 job losses
British Steel has reportedly drawn up “secret” plans to get rid of hundreds of jobs as it negotiates with the Government for £300m of public cash which would partly depend on decade-long employment guarantees.
Sky News has today – 1 February – said the business has discussed launching a consultation on about 800 redundancies, mainly at its Scunthorpe plant.
Last week, it was reported British Steel and its even larger rival Tata Steel must guarantee thousands of jobs until 2033 in return for £600m of Government cash to help decarbonise the industry.
And a six-month moratorium on redundancies is another condition of the Government’s offer of assistance.
Taxpayer money would be linked to replacement of blast furnaces with electric arc furnaces.
Jingye Group, British Steel’s owner, would need to invest at least £1bn in its business by 2030, with Tata Steel likely to be asked for a similar commitment.
British Steel currently employs roughly 4,000 people, with thousands more jobs in its supply chain.
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