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Scottish ministers in talks to save BiFab Scottish ministers in talks to save BiFab
(about 2 hours later)
Scottish ministers have said they are holding talks with a company considered crucial to the future of engineering business BiFab. Scottish ministers have said talks on the future of engineering business BiFab will continue into Friday evening.
First Minister Nicola Sturgeon and business minister Paul Wheelhouse are speaking to managers at Seaway Heavy Lifting (SHL). First Minister Nicola Sturgeon and business minister Paul Wheelhouse are speaking to managers at Seaway Heavy Lifting (SHL) which could be crucial to BiFab's future.
A dispute between SHL and BiFab is said to have caused cash flow problems for BiFab. A dispute between SHL and BiFab is said to have caused cash-flow problems.
It employs 1,400 people at yards in Fife and Lewis. BiFab employs 1,400 people at yards in Fife and Lewis.
BiFab has warned it is in danger of going into administration. The company has warned it is in danger of going into administration.
Economy secretary Keith Brown told the BBC's Good Morning Scotland programme "very serious progress" is being made in efforts to secure the engineering company's future. 'Anxious time'
Mr Brown said: "The most important thing we can do, which I think has been constructive so far, is to get the parties round the table. Economy Secretary Keith Brown said on Friday afternoon: "Following a series of talks over the course of today led by the first minister, myself and the minister for business, innovation and energy with Seaway Heavy Lifting, SSE, Siemens and the partners in the Beatrice Offshore Windfarm, progress has been made and discussions are continuing.
"The parties weren't speaking, there wasn't the prospect of a resolution to this. "We have also been in dialogue with the trade unions and BiFab. Ministers will continue talks for as long as necessary to avert the risk of administration at BiFab.
"We now have very serious progress being made towards a resolution of this and that's with the active involvement of the Scottish government." "We are very much aware that this will be an anxious time for the people employed at BiFab, as well as their families and the wider communities of Burntisland, Methil and Arnish and ministers will continue to do all we can a positive resolution."
Work-in He added: "We hope to be able to provide more clarity on the situation in the near future."
Representatives of the workforce at BiFab's two yards - at Arnish on Lewis and Burntisland in Fife - this week held a demonstration outside the Scottish parliament.Representatives of the workforce at BiFab's two yards - at Arnish on Lewis and Burntisland in Fife - this week held a demonstration outside the Scottish parliament.
Work-in
Many of the employees are continuing to work without pay at the yards in the hope of allowing a rescue deal to be put in place.Many of the employees are continuing to work without pay at the yards in the hope of allowing a rescue deal to be put in place.
Mr Brown added: "There's one particular payment which has not been paid and the two different parties to that payment - on the one hand BiFab on the other hand Seaway Heavy Lifting - have different views on the nature of that payment and when it should be made." Mr Brown told BBC Scotland earlier: "There's one particular payment which has not been paid and the two different parties to that payment - on the one hand BiFab on the other hand Seaway Heavy Lifting - have different views on the nature of that payment and when it should be made."
He said the Scottish government's role is to encourage a resolution of that dispute.He said the Scottish government's role is to encourage a resolution of that dispute.
"What we're trying to do is bring the parties round the table," he said."What we're trying to do is bring the parties round the table," he said.
As the ministerial talks continued, union officials have been at Arnish to talk to workers there.As the ministerial talks continued, union officials have been at Arnish to talk to workers there.
They formally agreed to back a work-in until the future of the yard becomes clear.They formally agreed to back a work-in until the future of the yard becomes clear.
Alan Ritchie from the GMB said: "The workers have passed a resolution in line with the workers in Fife.Alan Ritchie from the GMB said: "The workers have passed a resolution in line with the workers in Fife.
"They have decided that they will work as in a work-in. They have also decided that... nothing will come in the yard, nothing will go out the yard, without the permission of the shop stewards committee.""They have decided that they will work as in a work-in. They have also decided that... nothing will come in the yard, nothing will go out the yard, without the permission of the shop stewards committee."
Western Isles local authority Comhairle nan Eilean Siar said it stood ready to support and assist workers.Western Isles local authority Comhairle nan Eilean Siar said it stood ready to support and assist workers.
'Constructive talks''Constructive talks'
Council leader Roddie Mackay said: "Any loss of jobs would a significant blow to the local economy and it is critical that the government and other stakeholders in the supply chain to bring new money to the table to help sustain the company."Council leader Roddie Mackay said: "Any loss of jobs would a significant blow to the local economy and it is critical that the government and other stakeholders in the supply chain to bring new money to the table to help sustain the company."
Also represented at the ministerial talks are Scottish Enterprise, Siemens and SSE - which has a trading relationship with BiFab and owns a stake in the business.Also represented at the ministerial talks are Scottish Enterprise, Siemens and SSE - which has a trading relationship with BiFab and owns a stake in the business.
An SSE spokesman said: "SSE continues to engage closely with BiFab's management, SHL, the Scottish government and other stakeholders to find a sustainable solution for the company.An SSE spokesman said: "SSE continues to engage closely with BiFab's management, SHL, the Scottish government and other stakeholders to find a sustainable solution for the company.
"This engagement has included constructive talks today chaired by the first minister."This engagement has included constructive talks today chaired by the first minister.
"As a minority shareholder in BiFab and a partner in Beatrice Offshore Wind Limited, SSE is willing to play its part in a recovery package supported by and involving all stakeholders.""As a minority shareholder in BiFab and a partner in Beatrice Offshore Wind Limited, SSE is willing to play its part in a recovery package supported by and involving all stakeholders."