British Steel's plans to slash over a thousand jobs and partially close its flagship steelworks site in Scunthorpe has sparked a backlash from trade unions.
Around 1,200 jobs face being cut at the Chinese-owned company, a quarter of its 4,500-strong workforce, with coking ovens at the Scunthorpe plant under threat following a difficult year which saw its operating costs rise on the back of higher fuel prices.
Union Unite accused owner Jingye of being “greedy” following a meeting between the two groups on Wednesday.
Sharon Graham, general secretary of the union, also argued government support and a set-in-stone strategy for the industry was lacking, despite a proposed £300mln support package.
“At the moment steel workers are suffering from a catastrophic failure in leadership from both the Jingye Group [...] and the government,” she said.
British Steel has been in discussions with the government over the £300mln package to help it decarbonise operations, but this would rely on jobs guarantees and further investment from its owner.
Jingye subsequently called the support package “unsatisfactory” in the meeting with union officials on Wednesday, according to a BBC source, where it hinted towards the job cuts.
The Chinese group bought British Steel out of administration in 2019, with the business posting a loss of £140mln in 2020 after its first full year under the Chinese group’s control.