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Redcar Vigil To Save Steelworks

Thursday, September 24, 2015

GMB Members To Take Part In Redcar Vigil On Thursday Evening 24th September To Save Redcar Steelworks

Government should reverse decision to turn down a request for a £100 million emergency loan from Redcar steel plant leaving it on the brink of insolvency says GMB.

GMB members as well as the public will take part in a vigil on Thursday 24 September in Redcar to call on Prime Minster David Cameron help save the Redcar Steelwork.

See notes to editors for previous GMB press release and for copy of SSI announcement that iron and steelmaking operations at their plant at Teesside will be paused due to ongoing issues with the supply of raw materials and services dated 18th September 2015.

Those assembled with flags and banners will call on David Cameron to “keep the light burning on Teesside’ by switching on torch lights and lights on mobile phones at 7.30pm.

The details of the vigil are as follows:

Assemble from 6.45pm on Thursday 24th September

in the Majuba car park,

Majuba Road.

Redcar,

Teesside TS10 5BJ.

The vigil will be introduced by Anna Turley MP and Paul Warren who is chair of the joint unions at the SSI plant with speakers.

Michael Blench, GMB Regional Officer, said “Earlier this month the Government turned down a request for a £100 million emergency loan from Redcar steel plant, leaving it on the brink of insolvency. We want to see this decision reversed.

This vigil is to get the wider community on Teesside involved to ramp up the pressure on Cameron to step in to save this plant.

That is why we will call on David Cameron to “keep the light burning on Teesside’ by switching on torch lights and lights on mobile phones at 7.30pm at the vigil.”

End

Contact: Dave Hulse 07971 266 156 or Michael Blench on Teesside on 07870 176 748 or GMB press office 07974 251 823 or 07921 289880

Notes to editors

GMB press release dated Friday 18th September 2015

GMB Call On The UK Government To Help Save Redcar Steelwork Where SSI Has Announced A Pause In Production

The high pound, weak euro, high energy prices and very difficult market conditions have led this plant into jeopardy says GMB

GMB, the union for steel workers, commented on the announcement by SSI on the Redcar steel works. See notes to editors for copy of SSI announcement that iron and steelmaking operations at their plant at Teesside will be paused due to ongoing issues with the supply of raw materials and services dated 18th September 2015.

David Hulse, GMB National Officer, said "GMB is in contact with managers running the plant. I am on my way to Teesside to deal with what is a very difficult and distressing position for the workers and their families.

Over the past six months the unions have been trying to get support from the UK Government to help this plant deal with a difficult position. The high pound, weak euro, high energy prices and very difficult market conditions have led this plant into jeopardy. These factors threaten the future of the UK steel industry. It is of too much strategic importance to the UK economy to be allowed to go under."

End

Notes to editors

Copy of SSI announcement dated 18th September 2015.


SSI UK announce that iron and steelmaking operations at their plant at Teesside will be paused due to ongoing issues with the supply of raw materials and services . Preparations are being made to systematically reduce the production during the course of today, with a view to retaining the plant in a condition whereby it can be brought back into production at an appropriate point.

Redcar Coke Ovens and the Power Station will continue to operate at a reduced level. Production at South Bank Coke Ovens will cease and the plant mothballed.

Cornelius Louwrens, UK Business Director and Chief Operating Officer said;
"It is with great regret that we have had to make this announcement and we are deeply aware of the concern it will give to our employees and their families.

The problems within the global steel industry have been well publicised in recent weeks and our decision follows a major deterioration in steel prices affecting our business during the course of this year. Our parent company and other stakeholders have given great support to the business, and the decision to pause our iron and steel production has been taken reluctantly and in a scenario where no other practical options are available at present.
We are taking this pause in production in order to re-evaluate and assess the situation following the outcome of ongoing discussions with our various stakeholders, including  Government and suppliers.

Discussions will be held as soon as possible with our trade unions and employee representatives to clarify the effect the production pause will have on our employees "

Editors Notes;

1.    Sahaviriya Steel Industries UK Ltd, located at Redcar in the North East England is a 100% owned UK based subsidiary of Sahaviriya Steel Industries Public Company Limited (SSI)
2.    SSI UK comprises iron and steelmaking facilities with a capacity of 3.6million tonnes of slab production per annum
3.    SSI is the largest steel sheet producer in South East Asia with an annual hot rolling capacity of 4 million tonnes, and is publicly owned and listed in the Stock Exchange of Thailand
 

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