Liberty Steel has announced plans to cut 200 jobs in the UK at plants in South Yorkshire and the West Midlands, as the metals group looks to shift production to Rotherham.
According to a report in UK Newspaper The Guardian, the company said on 8 April that it would cut 160 jobs at a plant in Stocksbridge, South Yorkshire, and 45 in West Bromwich in the West Midlands as it focused production on the plant in Rotherham, also in South Yorkshire.
Liberty said an increase in production at Rotherham could create a ‘potential’ 160 new jobs, meaning that many of the affected workers in Stocksbridge may have the option to move to the nearby plant.
The two affected plants make specialised alloys for customers in aerospace and energy.
Alun Davies, national officer for Community, a union representing steelworkers, said the restructuring announcement 'provides some much-needed clarity on the company’s intentions'.
He added that the union believed Liberty Steel’s restructuring plans were 'credible', but would fight against mandatory redundancies, and that the company should ensure jobs were secure in the supply chain if it moved forward with the sale.
“The steps we’re announcing today will help ensure they are competitive in the future, with job creation at our Rotherham plant enabling us to mitigate a large percentage of role reductions at other sites.”
Jeffrey Kabel, Liberty Steel Group’s chief transformation officer
In a written statement, Jeffrey Kabel, Liberty Steel Group’s chief transformation officer, did not address the redundancies but said the plants were 'high-potential businesses'.
He continued: “The steps we’re announcing today will help ensure they are competitive in the future, with job creation at our Rotherham plant enabling us to mitigate a large percentage of role reductions at other sites.”
Source: The Guardian