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Tata Steel announces 1,200 job cuts | Tata Steel announces 1,200 job cuts |
(about 1 hour later) | |
Tata Steel has announced nearly 1,200 job losses at its plants in Scunthorpe and Lanarkshire. | Tata Steel has announced nearly 1,200 job losses at its plants in Scunthorpe and Lanarkshire. |
Nine hundred jobs will be lost at the firm's plant in Scunthorpe. The remaining 270 jobs will go in Scotland. | |
They are the latest in a series of job losses across the UK steel sector, following news that administrators have been appointed to parts of Caparo Industries' steel operations. | They are the latest in a series of job losses across the UK steel sector, following news that administrators have been appointed to parts of Caparo Industries' steel operations. |
The industry blames cheap Chinese imports for a collapse in steel prices. | The industry blames cheap Chinese imports for a collapse in steel prices. |
Prime Minister David Cameron has said he will raise the issue with China's president during his UK state visit. | Prime Minister David Cameron has said he will raise the issue with China's president during his UK state visit. |
The jobs going at Tata Steel are in part of a division that the company failed to sell earlier this year. | The jobs going at Tata Steel are in part of a division that the company failed to sell earlier this year. |
Buffeted by collapsing prices and the strong pound, Indian-owned Tata has decided to cut back its UK operations. | Buffeted by collapsing prices and the strong pound, Indian-owned Tata has decided to cut back its UK operations. |
Tata's steel plant in Scunthorpe, which employs 4,000 people, is one of the largest in the UK. | Tata's steel plant in Scunthorpe, which employs 4,000 people, is one of the largest in the UK. |
But two mills in Lanarkshire are also affected raising concerns about the future of the industry in Scotland. | But two mills in Lanarkshire are also affected raising concerns about the future of the industry in Scotland. |
Shipbuilding history | Shipbuilding history |
The plants under threat are the Dalzell plate rolling works in Motherwell, which opened in 1872, and Clydebridge, in Cambuslang, which has been operating since 1887. | The plants under threat are the Dalzell plate rolling works in Motherwell, which opened in 1872, and Clydebridge, in Cambuslang, which has been operating since 1887. |
The plants became two of the giants of Scottish industry, with Clydebridge providing steel plates which were formed into many of the most famous ships built on the River Clyde. | The plants became two of the giants of Scottish industry, with Clydebridge providing steel plates which were formed into many of the most famous ships built on the River Clyde. |
Steel industry crisis: Latest updates | Steel industry crisis: Latest updates |
The industry was at the heart of many Lanarkshire communities and Motherwell Football Club still use the nickname "the Steelmen" in tribute to the workers who supported them. | The industry was at the heart of many Lanarkshire communities and Motherwell Football Club still use the nickname "the Steelmen" in tribute to the workers who supported them. |
Analysis: Anthony Reuben, business reporter | Analysis: Anthony Reuben, business reporter |
It's been a tough few weeks for the UK manufacturing sector. | It's been a tough few weeks for the UK manufacturing sector. |
Manufacturing accounts for about 10% of the output of the UK economy. But most of the big headlines have been about one sector: steel, with Thailand's SSI closing down in Redcar and India's Tata shedding jobs. | Manufacturing accounts for about 10% of the output of the UK economy. But most of the big headlines have been about one sector: steel, with Thailand's SSI closing down in Redcar and India's Tata shedding jobs. |
The industry in the UK blames this on relatively high electricity prices in the UK for such energy-intensive businesses, compounded by the extra cost of climate change policies. | The industry in the UK blames this on relatively high electricity prices in the UK for such energy-intensive businesses, compounded by the extra cost of climate change policies. |
It says that the government's policies to compensate steel companies for such extra costs have been coming in too slowly. | It says that the government's policies to compensate steel companies for such extra costs have been coming in too slowly. |
There are allegations that the Chinese steel industry has been selling steel in the UK at unrealistically low prices. | There are allegations that the Chinese steel industry has been selling steel in the UK at unrealistically low prices. |
Also, the European Union is unusually strict about state aid to iron and steel companies. So it is a particularly difficult time for the UK steel sector, which is having an even harder time than manufacturing as a whole. | Also, the European Union is unusually strict about state aid to iron and steel companies. So it is a particularly difficult time for the UK steel sector, which is having an even harder time than manufacturing as a whole. |
What's going on in UK manufacturing? | What's going on in UK manufacturing? |
Could the government save UK steel? | Could the government save UK steel? |
John Park, assistant general secretary of trade union Community, said: "The significance of this is that it could be the end of steel production in Scotland. | John Park, assistant general secretary of trade union Community, said: "The significance of this is that it could be the end of steel production in Scotland. |
"Tata Steel have to be persuaded to mothball the site rather than close it and the Scottish government has to have a role in keeping the infrastructure secure and supporting short-time work until a future can be secured." | "Tata Steel have to be persuaded to mothball the site rather than close it and the Scottish government has to have a role in keeping the infrastructure secure and supporting short-time work until a future can be secured." |
In the 1970s, more than 200,000 people were employed in the UK steel sector, but the number now stands at just 30,000. Unions say that one in six of those jobs is now under threat. | In the 1970s, more than 200,000 people were employed in the UK steel sector, but the number now stands at just 30,000. Unions say that one in six of those jobs is now under threat. |
The collapse into administration of parts of steel processing firm Caparo on Monday followed the closure last month of the SSI steel plant at Redcar, with the loss of about 2,200 jobs. | The collapse into administration of parts of steel processing firm Caparo on Monday followed the closure last month of the SSI steel plant at Redcar, with the loss of about 2,200 jobs. |
The industry has blamed a flood of cheap steel being dumped on the global market by Chinese manufacturers. | The industry has blamed a flood of cheap steel being dumped on the global market by Chinese manufacturers. |
Government attacked | Government attacked |
Mr Cameron said: "The British government is doing everything that we can, and every issue that we can take up, we will." | Mr Cameron said: "The British government is doing everything that we can, and every issue that we can take up, we will." |
But Roy Rickhuss, general secretary of Community, said: "We have had a succession of ministers, and now the prime minister, saying that they will 'raise' the issue of Chinese steel dumping, which we know is impacting on the UK steel industry and the global steel price. | But Roy Rickhuss, general secretary of Community, said: "We have had a succession of ministers, and now the prime minister, saying that they will 'raise' the issue of Chinese steel dumping, which we know is impacting on the UK steel industry and the global steel price. |
"The prime minister needs to do more than 'raise' the issue. He needs to tell the Chinese premier what action he's going to take to stop Chinese steel damaging the future of a vital foundation industry in the UK." | "The prime minister needs to do more than 'raise' the issue. He needs to tell the Chinese premier what action he's going to take to stop Chinese steel damaging the future of a vital foundation industry in the UK." |
Caparo administrators PwC said workers would be paid and briefed on developments, adding: "It is business as usual while the administrators' review gets under way." | Caparo administrators PwC said workers would be paid and briefed on developments, adding: "It is business as usual while the administrators' review gets under way." |
Are you losing your job because of these closures? Tell us about what you plan to do now. Please email haveyoursay@bbc.co.uk with your experiences. | Are you losing your job because of these closures? Tell us about what you plan to do now. Please email haveyoursay@bbc.co.uk with your experiences. |
Please include a contact number if you are willing to speak to a BBC journalist. You can also contact us in the following ways: | Please include a contact number if you are willing to speak to a BBC journalist. You can also contact us in the following ways: |
Or use the form below | Or use the form below |