Engineering news
Steel group Caparo is to cut 452 across its UK sites after entering administration earlier this month.
Administrators PriceWaterhouseCoopers (PwC) confirmed that more than 300 jobs are being lost at plants, including 122 losses at Darlaston, 79 at Hartlepool, 68 at Oldbury, 64 at Dudley and 59 confirmed at West Bromwich.
The PwC announcement said: “Following a detailed review of Caparo, it is with regret we now announce 452 redundancies with immediate effect.”
The administrator added that no further comment will be made until a trading and administration update has been provided to all of the employees and their representatives across Caparo Industries Group.
Caparo's job cuts have been described by unions as a yet another ‘hammer blow’ for steel and manufacturing communities across the UK already reeling from the closure of SSI's Redcar plant and job losses at Tata steel, with many blaming crippling energy costs and the dumping of cheap Chinese steel.
Trade union GMB said it was "very disappointed" at the cuts and the way in which they were implemented. Joe Morgan, GMB Birmingham & West Midlands regional secretary, said: “At Oldbury for example workers who have gone today are from all across Caparo Precision Tubes and had exactly one hour to leave the premises."
Workers who remain at Oldbury and other sites have been told they will be employed for another 8 to 10 weeks, leaving the future uncertain for the remaining workers in the run up to Christmas.
Morgan said: "We are still of the opinion that Caparo can be saved. The GMB will continue its campaign to safeguard the steel industry in the West Midlands and nationally, and will provide legal support and assistance where possible.
"The silence of local Conservative MP for Oldbury James Morris is deafening; we feel that he should have done more. He refused to speak up when he had the chance at PMQ's. His Conservative government have failed to support the steel industry here in the West Midlands and across the country.”
Following calls from the steel sector business secretary, Sajid Javid, has had his request for an emergency meeting with senior European ministers granted to discuss the pressures faced by the steel industry. The talks will take place within the next 10 working days.