net cymru logo www.net-cymru.co.uk
 Industry in Wales


Items on this page in natural order:

Archbishop condemns Corus job losses
Assembly 'deeply disappointed' by Corus buy-out rejection
Buyout the only solution for UK steel, says MP
Steel crisis funds 'must be new money'
Debt of honour owed to Shotton , says Tory AM

Reactions to the Steel Crisis
The way Corus have acted "suggests that they do not take the lives of their workers seriously." The Archbishop of Wales

"The union's offer to take over Llanwern and run it ... demonstrates a 100% commitment to the industry which is perhaps more than you can find at boardroom level." Rhodri Morgan, First Secretary of Wales

"The company had no reason to close Llanwern." Michael German, Deputy First Secretary of Wales

"There is no point in allowing Europe's most productive steel workers to be flung on the employment scrapheap." Richard Livsey, MP, Leader of the Welsh Liberal Democrats

"The Government's lack of a manufacturing strategy has played a major part in the huge job losses." Ian Titherington, Plaid Cymru

"Shotton steelworkers feel neglected by the Cardiff coalition." North Wales AM Peter Rogers (Conservative)


These press releases indicate some of the strength of feeling which has resulted from the job losses in the Welsh Steel Industry.

For up-to-date news feeds see the NewsWales Website: www.newswales.co.uk


Archbishop condemns Corus job losses

Most Rev Dr Rowan Williams, Archbishop of Wales and Bishop of Monmouth has been joined today by other Bishops of the Church in Wales in condemning Corus' announcement of job losses in the Welsh steel industry made this morning.

Responding to the announcement, the Archbishop said: "Corus needs to be aware of the outrage in many parts of Wales and particularly in the south-east of Wales, not only over their decision to cut so many jobs and to close plants, but also at the way this announcement has been handled.

"Many people feel that Corus' failure to implement any kind of consultation suggests that they do not trust their own work-force and that they do not take the lives of those people seriously.

"This announcement obviously raises the need for a strategy on manufacturing industry. But it also pinpoints problems about the methods and standards of management and consultation which we can expect in this country. It is a disgrace that our standards in this regard seem so much lower than in many other parts of the European Union.

"Local communities and churches will need help now in identifying what they can do to meet local needs in the wake of this announcement. Many industrial chaplains will be putting their minds to this."

Bishop John Davies, Bishop of St Asaph diocese - which includes the Shotton steel plant, also said: "I am very concerned about the effect which Corus' announcement of 319 job cuts will have on communities such as Shotton which have been built up around steel-making.

"Its consequences will impact on the whole of Deeside and beyond. There is an urgent need for a long-term strategy to support and address the needs of manufacturing industry as well as developing new economic sectors in Wales.

"Wales has the highest proportion of jobs in manufacturing industry of any region of the UK, at around 40% (the British average being around 22%)."

Press Release: Church in Wales (1/2/2001)

Continue browsing or go to top of page



Assembly 'deeply disappointed' by Corus buy-out rejection

Following reports that Corus management would not welcome an offer from the ISTC union to take over the running of the closure-threatened Llanwern steel plant, the Assembly's First and Deputy First Ministers, Rhodri Morgan and Michael German, have expressed their deep disappointment at the attitude of the company.

First minister Rhodri Morgan said: "The union's offer to take over Llanwern and run it was a massive vote of confidence. It demonstrates a 100% commitment to the industry which is perhaps more than you can find at boardroom level. In similar circumstances a few years ago Tower Colliery showed what could be achieved when Coal Board management pulled out being unable to show a profit. The Assembly would naturally be prepared to do all that it could, within European State Aid rules, to help with any such buy-out.

"The great advantage of the ISTC offer would be that it would guarantee the £35m reline of the blast furnace on whose iron the plant depends. There will be intense frustration at the plant that Corus does not even want to give serious consideration to this offer which would keep Llanwern as an integrated plant.

"At Llanwern they naturally fear that if they become simply a finishing plant without control over their own hot metal supply, the finishing plant would not last much longer. It is not good enough for Corus simply to say that it does not want the competition in the steel production home market. It has to explain its strategy."

The Deputy First Minister, Michael German, further commented that the reported letter from Sir Brian Moffatt to the ISTC declaring that Corus would not welcome any new competition, simply demonstrated that the company had no reason to close Llanwern. "If Sir Brian thought that Llanwern under worker-control would provide serious competition to Corus’s other activities, why was he considering a restructuring package which appears to put Llanwern and its excellent workforce in jeopardy." This action demonstrates to me that the plant has a secure future supplying competitively to the market place."

Mr German reiterated that both he and Rhodri Morgan had been constantly pressing Corus over the last few weeks to take any restructuring decisions on the basis of a sensible long term strategy which fully utilised all the investment and steel worker expertise- which exists in Wales in considerable abundance. Other manufacturing companies of international standing such as Toyota and Nissan have recently demonstrated their long-term faith in the UK: Corus must do the same."

Press Release: National Assembly for Wales (31/1/2001)

Continue browsing or go to top of page



Buyout the only solution for UK steel, says MP

News that steel-maker Corus is not committed to any further investment in steel production in Wales or the rest of the UK, has prompted the leader of the Welsh Liberal Democrats, Richard Livsey, to call for the Government to look urgently at the option of Government-aided management/workforceh buyouts of steel plants, under an overall investment umbrella.

Mr. Livsey has already called for positive action from Government at Westminster, last week challenging the Secretary of State for Trade Byers, to take a number of positive steps, rather than just relying on criticism of Corus's actions.

Commenting on recent developments in the steel situation, Mr. Livsey said: " There is no point in allowing Europe's most productive steel workers to be flung on the employment scrapheap.

"Clearly, if Corus has debts of a reported 1.6 billion, its assets could be bought for not much more than the social security bill for workers made redundant by the run-down proposed.

"An early start should be made by giving Government assistance for a management/workforce buy-out of the Ebbw Vale plant, followed by one for Llanwern.

"More investment and re-structuring in the steel industry will undoubtedly be required if we are to compete in future with Eastern European steel production. I am confident that, in Wales at least, if the steelworkers are given the necessary backing, they will overcome this huge challenge, as they have before!.

"Steel is the basis of the manufacturing economy. We cannot allow it to die by a thousand cuts."

Press Release: Liberal Democrats Wales (5/2/2001)

Continue browsing or go to top of page





Steel crisis funds 'must be new money'

Plaid Cymru's Prospective Parliamentary Candidate for Swansea West Ian Titherington has backed a Swansea Council Cabinet member, over his comments about dipping into Objective One money for the devastated steel communities of Wales.

Councillor Byron Owen, the Cabinet Member for Economic Development questioned why Wales should have to use existing European funding and not receive extra money.

Ian Titherington stated, Of course our devastated steel communities need and deserve long-term funding to help them survive, but why are we looking to take European money from the same communities, only to give it back to them. This is an additional economic crisis that needs additional funding.

He pointed out that not only was there some funding available from Europe specifically for steel closures, but the Government also had a responsibility to help out communities such as Ebbw Vale and Gorseinon, as its high pound driven economic policy and utter lack of a manufacturing strategy had played a major part in the huge job losses.

He said, First of all a senior Assembly Civil Servant hints that London will give no new money, and now it is being suggested that existing Objective One funding can be used instead. Undoubtedly Objective One will play a part, but we must ensure that London do not get away with transferring funds rather than injecting new funds our steel communities deserve better than that.

The criteria for eligibility for Objective One funding was based predominately on the level of GDP per head (gross domestic product). Since the level of funding for Wales was established, its GDP per head has actually dropped from 83% to 79%; a figure that was calculated before any steel job losses were taken into account.

Press Release: Plaid Cymru (5/2/2001)

Continue browsing or go to top of page



Debt of honour owed to Shotton , says Tory AM

North Wales AM Peter Rogers today told the National Assembly that nobody should forget Corus's devastating announcement of jobs at Shotton. Mr Rogers told the First Minister, Rhodri Morgan that Shotton steelworkers felt neglected by the Cardiff coalition.

Mr Rogers said that the Assembly has to consider Wales as a whole, and must not allow the plight of Llanwern to be the government's only concern. Mr Rogers told Assembly Members that he was born in Brymbo and has seen the devastation caused by the loss of steel-making in that area. He told the First Minister that he must not forget the effect of Corus's decision on the community of Shotton.

"This is bad news for Wales, and devastating for Shotton," said Mr Rogers after the two hour debate. "These job losses are a great personal tragedy for hundreds of families in the area.

"The Assembly owes a debt of honour to the Shotton steelworkers, and we must not allow their plight to go unnoticed here in Cardiff. I will be fighting to make sure that Shotton isn't abandoned by the Cardiff coalition."

Press Release: Welsh Conservatives (1/2/2001)

This Website contains information from a variety of sources. References on this site to individuals and organisations does not imply a support on their part for net-cymru - see Site Objectives and Policies

This page was last updated on 9 February 2001 __________ Back to:net-cymru Home Page