Ministers agree retention plan for Tata steel workers

6 January 2016

A £195,000 support package has been agreed by the Scottish Government to retain key staff at the Tata steel plants in Dalzell and Clydebridge.

Tata announced the closure of its two Scottish plants with the loss of 270 jobs back in October as the firm planned to stop production of steel plate across its European business.

Business minister Fergus Ewing said the support package will see a number of staff paid approximately 60 per cent of gross salary and receive advanced training to ensure the plants can reopen quickly, as and when production resumes.

He said “It is critical for any new commercial operator intending on restarting production at Dalzell and Clydebridge to be able to get the mothballed plants quickly up and running again after a period of inactivity.

“So we have agreed to work with the existing management and trade unions to retain and develop the nucleus of a manufacturing team. That will be attractive to prospective buyers who seek the knowledge and insight to maximise the productive capability of the sites.

“The programme will deliver learning and development to staff with key skills and attributes required to re-establish manufacturing. This is a positive development in the quest to secure a future for Scottish steel.

“In the past fortnight I have had positive discussions with Tata Steel Union and Greybull Capital LLP and will meet Greybull in the next few weeks to discuss the future of the Scottish plants.

“Work goes on in the Steel Task Force to examine ways to reduce costs such as energy use and business rates and ensure all commercial opportunities related to public procurement are visible to interested parties.”