GMB has today said that it is an absolute disgrace that DUCAB, an offshore based Dubai company, trading as AEI Cables have shown such a disdainful attitude to workers and their families at AEI Cables, Birtley.
The Union said that generations of manufacturing will be lost by DUCAB seeking to avoid its responsibilities in using the Government backed CVA Scheme as a ruse.
The GMB called on the owners and directors from this multi million global business to pay up its full redundancy out of its global profits not leave it solely to the British taxpayer to have to fork out, for owners who will remove the plant, equipment and raw materials and make profit elsewhere.
The GMB said such callous disregard for local people by companies and owners who do not have a stake in the community should be investigated further.
In particular the GMB understands that the company has an order book that is healthy and is of a multi million pound value.
Tom Allison GMB Senior Organiser said:
"We understand the company has Ministry of Defence contracts and that DUCAB will continue to use the AEI name and have sales staff based in the UK selling cables from the UAE.
"Yet it is an absolute disgrace that DUCAB/AEI are crying poverty and saying that they are unable to make redundancy payments to staff and are leaving the taxpayer to foot the bill.
"GMB believes that DUCAB have kept a healthy order book, have taken British workers knowledge to make product, yet will not pay full redundancy, nor speak directly to AEI staff about this whole situation.
"DUCAB say they have put a substantial amount of money into AEI Cables in Birtley, but are now claiming as a ruse that AEI is an independent company for the purposes of entering a CVA.
"Our members are rightly indignant with anger as to how the CVA news has emerged which has left them having to go cap in hand to the government for money after decades of work.
"Meanwhile DUCAB/AEI get away with shutting a plant and running away from their responsibilities.
"It is immoral and an absolute scandal.
"GMB is now calling on a full Parliamentary Committee Inquiry as well as Parliament to be given the full opportunity to debate this disgraceful practice and horrendous situation for the workforce, their families and the local community."
Contact: Tom Allison, Senior Organiser: 07870 176 722 or Chris Jukes, Senior Organiser: 07870 176 733