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Tata Steel: Unions split on Port Talbot rescue plan

Huw Thomas - Business correspondent, BBC Wales
Tue, November 28, 2023

Port Talbot employs 3,000 people - half Tata's UK workforce


Unions representing Port Talbot steelworkers are split over an alternative plan to decarbonise the Tata Steel site.

Two unions have said proposals prepared by consultants Syndex would "safeguard the future" of the site with no compulsory redundancies.

But a third, Unite, has changed its stance and has publicly rejected the plan, calling it a "strategy for job cuts".


Tata Steel said talks were ongoing.

On 1 November, unions said Tata Steel was planning to end blast furnace production in Port Talbot by April 2024 with the loss of 3,000 jobs.

Tata cancelled a planned press conference where the plan was expected to be announced.

"It’s feasible, open to proper scrutiny and crucially avoids any non-compulsory redundancies.", Source: Gary Smith, Source description: GMB general secretary, 

The company had already committed to replacing the blast furnaces with an electric arc furnace which will melt scrap steel, rather than producing virgin steel from iron ore.

Port Talbot steelworks is Wales' largest emitter of carbon and the company and unions are committed to decarbonising the site, but disagree on how it is achieved.

The key issues at Port Talbot's Tata steelworks


Steelworkers angry at 'shambolic' Tata treatment

All three unions asked Syndex to prepare an alternative decarbonisation plan for Tata Steel's UK operations, which was endorsed by representatives of Community, GMB and Unite.

It was presented to the company's senior management by representatives of the unions in London on 17 November and involved maintaining one blast furnace in Port Talbot with about 700 job losses that the unions believe could be achieved through voluntary redundancies and redeployment.

Sharon Graham of Unite first announced the union's opposition earlier this month

But on 18 November, Unite's general secretary Sharon Graham announced her opposition to the plan.

Community and GMB have now published a summary of the Syndex plan, saying it would "protect more than 2,300 jobs over a decade and would see no compulsory redundancies in Port Talbot".

But Unite's Wales regional secretary Peter Hughes has now said: "The Syndex plan is a strategy for job cuts and Unite in no way accepts any proposal that seeks to decimate the steel industry."

Unite said it had its own plan for steelmaking which would "transform the UK into the global green steel capital".

Following last week's meeting with all three unions, Tata Steel committed to assessing the Syndex plan.

As well as maintaining one of the blast furnaces until 2032, the Syndex plan includes assessing alternative models for virgin steel production which could be constructed at a later date.

Community general secretary Roy Rickhuss said its alternative plan "had been agreed by all the steel unions, can safeguard the future of Port Talbot steelmaking and protect all the downstream plants and - crucially - it can be delivered with no compulsory redundancies".
'More in common'

GMB general secretary Gary Smith said the plan "offers a credible path" to a decarbonised future for Port Talbot, calling it "the plan Port Talbot workers want".

Tata Steel said there was a well-established multi-union consultation arrangement - the UK Steel Committee - which involved national representatives from the Community, GMB and Unite unions and it met with the company on 17 November to start discussions on its proposals.

A spokesperson added: "We agreed to further detailed conversations on specific items within their proposal and these discussions are ongoing."

Welsh economy minister Vaughan Gething said the Welsh government was very clear that it wanted to see the maximum number of jobs maintained for the longer term.

"It really does matter that the conversation is a serious one, with meaningful engagements," he said.

"I think there is more in common in the trade union position, that's my understanding, than can be seen as a nuance between them.

"Either way, that does not mean that either the company or the UK government should walk away from the conversation that still has to conclude on what the future could be."

He said he wanted to see a credible plan for decarbonisation that "does not offshore Welsh jobs and does not offshore emissions that will simply take place in a different part of the world".


Unions reveal plan to safeguard Port Talbot steel plant and protect jobs

Alan Jones, PA Industrial Correspondent
Tue, November 28, 2023 

Unions have revealed details of a plan aimed at safeguarding the future of the UK’s biggest steel plant without the loss of thousands of jobs.

Community and the GMB said their proposal would secure a just transition for the workforce at Port Talbot in South Wales and across owner Tata Steel UK, and deliver on the country’s climate responsibilities.

The unions have condemned plans to produce “green” steel at the site with the potential loss of thousands of jobs, saying they are “seriously concerned” about the proposal to build a single electric arc furnace (EAF).

They said their two-phase plan would protect more than 2,300 jobs over a decade and see no compulsory redundancies at Port Talbot.

Community general secretary Roy Rickhuss said: “The multi-union plan can safeguard the future of Port Talbot steel-making and protect all the downstream plants, and crucially it can be delivered with no compulsory redundancies.

“It is a serious and credible plan developed with the support of the respected industry experts Syndex, who have had access to the company’s confidential information and who have in-depth knowledge of Tata Steel UK, having worked with us since 2014.

“Our alternative is ready to go and we call on all stakeholders to get on board and back the plan, back our industry and back our steelworkers.”


GMB general secretary Gary Smith said: “Port Talbot workers deserve a decarbonisation plan that protects the future of UK steel while safeguarding jobs.

“The multi-union plan offers a credible path to this future.

“It’s feasible, open to proper scrutiny and crucially avoids any non-compulsory redundancies.

“It’s the plan Port Talbot workers want – now unions, Tata and the Government need to make sure it’s implemented.”

Sarah Jones, shadow minister for industry and decarbonisation, said: “It is welcome to see Tata engaging with a multi-union process around an alternative proposal for Tata Steel UK.

“There can be no route to green steel without proper engagement with the workforce to ensure we do not simply ship our emissions and jobs overseas.

“Labour is hopeful all parties can reach a solution in partnership with workers and industry, investing in a range of technologies to decarbonise steel and build the jobs and opportunities for the future of the UK steel industry.”

Stephen Kinnock, Labour MP for Aberavon, said: “This detailed, serious, robust and compelling plan for the future of the Port Talbot steelworks has my full and unequivocal support.

“It’s the only realistic route to retaining our customer base, and it’s also the only credible pathway to a strong, competitive and profitable future for steel-making in Port Talbot and throughout the downstream plants across Wales and the UK.”

The Unite union has put forward its own proposals, arguing there is no need for any job losses at Port Talbot.

A Tata Steel spokesperson said: “Tata Steel has an agreed and well-established multi-union Information & Consultation arrangement for matters potentially affecting the company – The UK Steel Committee.

“Senior leaders from Tata Steel met with the UK Steel Committee and their advisers on November 17 to start discussions on their proposals. We agreed to further detailed conversations on specific items within their proposal and these discussions are ongoing.”
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