British Steel said it will close consultations on up to 2,700 redundancy without action after the government took control of the company earlier this month.
In March, Chinese company Jingye, which purchased British Steel in 2020, proposed shutting down two Scunthorpe explosion furnaces. We have launched consultations saying it could affect employment of 2,000-2,700 people.
Earlier this month, the UK government used the emergency to manage British steel and continue production on-site.
British Steel has confirmed that it has officially withdrawn the HR1 consultation form submitted by the company and has ended the redundancy process.
On Tuesday, British Steel interim chief executive Lisa Coulson said: “This has been a difficult and worrying time for the UK steel staff and their families, but we can make sure we are closing redundant consultations without action.
“The work done to ensure the necessary raw materials for both Queen Anne and Queen Beth’s blast furnaces means that both can be performed continuously.”
Minister of Industry Sarah Jones said: “The actions this government took on April 12th and we are extremely important to this country and very important to thousands of steel workers and their families. We will always stand up to the steel industry.
“Now, thanks to decisive action to protect steel production at Scunthorpe, British Steel has cancelled the redundant consultation started by owner Jingye, bringing certainty to thousands of hardworking staff over the long term.”
Unite Union said:
“This should be just the first step to launching the nationalization process. The government now needs to implement a full overhaul of energy policy, with its commitment to invest in renewable energy to lower energy prices for heavy industries like steel production.”
“We’ve been working hard to get into the world,” said Alun Davies, steel secretary for the Community Union.
“We look forward to continuing these productive relationships in the future. Through this collective effort backed by the commitment and determination of the workforce, Scunthorpe Steelmaking has been saved from the edge of a disastrous cliff.
“We will continue to work tirelessly to ensure that we need business now and have a bright future that we deserve.”
