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Tata Steel starts voluntary redundancy process

Tata Steel's Port Talbot plantImage source, Getty Images
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Tata has closed one of its Port Talbot blast furnaces, and plans to close its second in September

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Tata Steel has started asking its employees if they would accept voluntary redundancy, the UK government has said after a meeting of its transition board.

The company is asking for expressions of interests from employees in a process that will run until 7 August.

UK government ministers are in negotiations to try to save jobs at the steel giant, which is planning to lose 2,800 posts.

Tata will close the second of its Port Talbot blast furnaces in September, citing losses of 拢1m a day.

On Thursday the recently installed Labour Welsh Secretary Jo Stevens held her first meeting as chair of the Tata Steel transition board, set up by the previous Conservative UK government to support people and businesses affected by the plans.

It includes representatives of unions, businesses, the Welsh government and local politicians.

She said she has commissioned a "rapid assessment of how we can offer immediate support".

"We will work collaboratively with a single focus to support our steel industry and affected communities," she said.

鈥淏ut businesses and workers are already feeling the impact of Tata Steel鈥檚 transition. The time for talking is over."

The UK government said that Tata Steel had "re-confirmed its commitment to offer an enhanced redundancy package."

It added that it had begun asking for expressions of interests from employees which will run to 7 August.

Tata Steel has closed one of its blast furnaces, and plans to close its second in September, as part of moving to greener production.

The previous Conservative government pledged 拢500m to Tata Steel towards the cost of a new 拢1.25bn electric arc furnace, which will melt scrap steel, and requires far fewer workers than traditional blast furnaces.

In a press statement the UK government said Tata will begin work with Bridgend College to offer production-based employees help to convert the skills gained at the company into nationally-recognised qualifications.

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