Working on investment to support workers who would lose jobs at UK unit: Tata's N Chandrasekaran
Tata Steel is working with the UK government and unions to ensure an adequate level of investment for supporting skill development of workers who would be impacted due to the modernisation of its Port Talbot plant, according to the company's chairman N Chandrasekaran. As part of its decarbonisation plan, Tata Steel is shifting to a low-emission electric arc furnace (EAF) process from an ageing blast furnace at Port Talbot mill, resulting in job losses of around 2,500 people.
Addressing the 117th Annual General Meeting of Tata Steel on Monday, Chandrasekaran said that the company recognises that this transformation is difficult from an execution perspective and also difficult for some of the employees who will not have a future with Tata Steel, especially in the UK.
«The company is working with the government and with the unions to make sure that we do sufficient level of investment to be able to support them in their skill development so they can have a better future.
The EAF project will reduce CO2 emissions by 5 million tonnes per annum, ensure continuity of steelmaking in Port Talbot and preserve a majority of jobs, although there will be job losses in Tata Steel UK, the Tata Steel chairman said.
He did not elaborate further on the investments.
Chandrasekaran also said that until the transition is complete, there is a need to protect the downstream assets and rolling mills in Tata Steel UK which will be fed with imported slabs and coils ensuring supplies to the customers.
Tata Steel owns a 3 million tonne
