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BAE workers back to work after job cuts announcement Scottish parties clash over BAE job cuts announcements
(about 5 hours later)
Staff at BAE's shipyards are going back to work after being told that almost 1,800 of them are facing redundancy. Scotland's political leaders have clashed over the future of shipbuilding, the day after hundreds of workers were told they faced job cuts.
They were sent home on Wednesday after the announcement of job cuts, which include about 800 in Scotland. Staff at BAE's shipyards, which include facilities on the Clyde, were told 1,800 of them are facing redundancy.
Most of the jobs will go in Portsmouth where shipbuilding will end altogether. There will also be job losses in Filton, near Bristol. Scottish Labour leader Johann Lamont told Holyrood Scottish independence would "threaten" jobs.
Unions at Scotland's shipyards said they hoped many of the job losses would be found through voluntary redundancy. Deputy First Minister Nicola Sturgeon accused her rival of trying to blackmail people into voting "No".
The Scottish yards include Govan and Scotstoun, on the River Clyde in Glasgow, and Rosyth in Fife. The cuts are likely to affect about 800 jobs in Scotland, where shipyards are operated at Govan and Scotstoun, on the River Clyde in Glasgow, and Rosyth in Fife.
The Clyde yards have been earmarked for building the new Type 26 warships. The Clyde yards have been earmarked for building the Royal Navy's new Type 26 warships.
The UK government has been accused by MPs in the south-east of England of sacrificing shipbuilding in Portsmouth because of next year's independence referendum. UK Defence Secretary Philip Hammond said the designs would not be finalised until the end of next year, which would be after the Scottish independence referendum on 18 September.
However, the Scottish government has accused it of "absurd" threat to jobs in Glasgow in the event of a Yes vote. And Scottish Secretary Alistair Carmichael has argued Scotland would find it "difficult" to win UK government shipbuilding contracts if the country voted for independence.
The Defence Secretary Philip Hammond said that in the event of independence, a UK government would be bound to want to build warships inside the UK and not in Scotland. The Scottish government has dismissed suggestions that a "Yes" vote would put future shipyard orders in doubt and said joint procurement of Type 26 vessels could be possible.
Scottish Secretary Alistair Carmichael said Scotland would find it "difficult" to win UK government shipbuilding contracts if the country voted for independence. During question time at Holyrood, Ms Lamont said: "We currently have joint procurement - its called the United Kingdom.
Joint procurement "What the deputy first minister wants to do is break that up and then reinvent it and pretend there's not a difficulty."
But Deputy First Minister Nicola Sturgeon told BBC Radio's Good Morning Scotland programme that in an independent Scotland, joint procurement of Type 26 frigates could be possible. Ms Lamont added: "I don't doubt the personal commitment of the deputy first minister to the individuals within Govan shipyard, but her problem is her prospectus for Scotland threatens their jobs."
She said: "These ships will be built on the Clyde because BAE said yesterday, and the defence secretary said yesterday, that it's the best place to build them because of the investment we have seen in these yards, because of the skills mix and because of the value for money. Ms Sturgeon, who was standing in for First Minister Alex Salmond away in China, said the BAE cuts announcement meant the Clyde was now the only part of the UK where complex warships could be built.
"Type 26 frigates, offshore patrol vessels - these are exactly the kind of vessels that an independent Scottish government would need. So we would be procuring some of these Type 26 frigates. She told Ms Lamont: "This is a question about what happens after Scotland has democratically voted for independence and surely she is not going to threaten and bully and seek to blackmail Scottish shipyards."
"Actually, the sensible proposition in that scenario would be a joint procurement." Meanwhile, former Conservative Defence Minister Sir Gerald Howarth told the BBC the issue was about European law.
However, former Conservative Defence Minister Sir Gerald Howarth told the programme the issue was about European law. Restructuring proposals
He said: "Under article 346, national security determines that if we wish to maintain exclusivity in the United Kingdom in order to maintain our sovereign capability, then we can do so.He said: "Under article 346, national security determines that if we wish to maintain exclusivity in the United Kingdom in order to maintain our sovereign capability, then we can do so.
"If Scotland were no longer part of the United Kingdom, then Scotland would not enjoy that same privilege which they enjoy today."If Scotland were no longer part of the United Kingdom, then Scotland would not enjoy that same privilege which they enjoy today.
"Nor would the United Kingdom enjoy that same exemption.""Nor would the United Kingdom enjoy that same exemption."
Patrol vessels The BAE announcement will result in most jobs going in Portsmouth, where shipbuilding will end altogether, while there will also be further loses in Filton, near Bristol.
The defence contractor and the Ministry of Defence (MoD) have announced measures which they hope will offset the effect of the job cuts. The firm said it would now begin consultation to cut 1,775 jobs "to result from these restructuring proposals".
Among the plans are more than £100m of investment to expand the dockyard at Portsmouth. Unions at Scotland's shipyards said they hoped many of the job losses would be found through voluntary redundancy.
Three new ocean-going Offshore Patrol Vessels for the Royal Navy will also be built at BAE's Govan and Scotstoun yards in Glasgow.
This could help sustain shipbuilding at the yards until work is due to begin on the Type 26 Global Combat ships.
BAE said it had agreed with the MoD "that Glasgow would be the most effective location for the manufacture of the future Type 26 ships".
"The company proposes to consolidate its shipbuilding operations in Glasgow with investments in facilities to create a world-class capability, positioning it to deliver an affordable Type 26 programme for the Royal Navy," it said.
It said the cost of this restructuring would be borne by the MoD.
BAE said it would now begin consultation to cut 1,775 jobs "to result from these restructuring proposals".
The MoD confirmed that it would commission three new ocean-going Offshore Patrol Vessels to play "a key role in counter-terrorism, counter-piracy and anti smuggling operations".
It said these would be built at BAE's Govan and Scotstoun yards.
Work on the new vessels is due to begin next year with the first ship being delivered to the Royal Navy in 2017.
'Working class guys'
The ships are expected to replace the current, smaller River Class vessels which have been policing the UK's waters since 2003.
Mr Hammond said more than £100m would be invested in Portsmouth.
The money will be used to expand the dockyard to ensure it is ready for the arrival of HMS Queen Elizabeth and HMS Prince of Wales as well as the Type 45 destroyers which are based in Portsmouth.
Workers at BAE's Scotstoun and Govan yards were told by management there would be about 800 jobs lost in Scotland but no breakdown was given.
Workers who left the yards said they were worried and disappointed, but that the announcement was not unexpected.
Alex Taylor, 63, a plater at Govan, said: "We've known for a while that the workload isn't there to carry the amount of people that we had building the carriers, but hopefully voluntary redundancies will take up the slack."
He added that those affected by the job cuts at Portsmouth were "working class guys the same as ourselves, they're just shipbuilders.
"We're obviously relieved that things are looking better for the Clyde, but that doesn't mean to say that we've not got feelings for our comrades in Portsmouth."