Scunthorpe steelworkers enjoy the rewards of act of faith in new owner
Mick Galvin, a 30-year veteran of the Scunthorpe steelworks, is feeling chipper. Along with more than 4,000 colleagues, he is celebrating the end of a year-long agreement to give up 3% of their wages to help secure the future of British Steel.
The restoration of their pay coincides with a return to the black – a £47m underlying profit capping a dramatic turnaround since the plant slumped to a £79m loss in its final year under the stewardship of former owner Tata Steel UK. Employees have also been given a 5% stake in the company, meaning they will share in any dividends, if and when there are any to be handed out.
Scunthorpe steelworkers plan for a brighter future
Read more
“It shows the company has stuck to its word,” says Galvin, a shift manager in the plant’s rod mill. “We showed faith in them and they’ve shown faith in us. The mood is positive and that’s good for the town and particularly for the young people.”
Behind him, a four-tonne length of steel, heated to 1,080C, glows incandescent orange as it rolls through the mill to be made into wire coil, which is used in items ranging from paperclips to the metal ropes that support the Humber Bridge.
The intense light and heat given off by this industrial process seemed at risk of being snuffed out just 18 months ago as the once sturdy UK steel industry looked doomed. Overcapacity in Europe, slow demand and competition from Chinese steel producers that were flooding the global markets with cheap subsidised product made for a bleak future.
https://www.theguardian.com/business...o-act-of-faith
Well done, the new employer is not a ....!
Mick Galvin, a 30-year veteran of the Scunthorpe steelworks, is feeling chipper. Along with more than 4,000 colleagues, he is celebrating the end of a year-long agreement to give up 3% of their wages to help secure the future of British Steel.
The restoration of their pay coincides with a return to the black – a £47m underlying profit capping a dramatic turnaround since the plant slumped to a £79m loss in its final year under the stewardship of former owner Tata Steel UK. Employees have also been given a 5% stake in the company, meaning they will share in any dividends, if and when there are any to be handed out.
Scunthorpe steelworkers plan for a brighter future
Read more
“It shows the company has stuck to its word,” says Galvin, a shift manager in the plant’s rod mill. “We showed faith in them and they’ve shown faith in us. The mood is positive and that’s good for the town and particularly for the young people.”
Behind him, a four-tonne length of steel, heated to 1,080C, glows incandescent orange as it rolls through the mill to be made into wire coil, which is used in items ranging from paperclips to the metal ropes that support the Humber Bridge.
The intense light and heat given off by this industrial process seemed at risk of being snuffed out just 18 months ago as the once sturdy UK steel industry looked doomed. Overcapacity in Europe, slow demand and competition from Chinese steel producers that were flooding the global markets with cheap subsidised product made for a bleak future.
https://www.theguardian.com/business...o-act-of-faith
Well done, the new employer is not a ....!
Comment