Tata Steel has announced that it will be closing down operations at its Llanwern-based facility manufacturing roll-formed assemblies and products that employs around 70 people.
The Managing Director for Distribution, Ireland and UK, Paul Steele stated with regret that they have come to this conclusion of closing operations of its construction product manufacturing facility after a comprehensive review of the TSCP business. He complemented everyone who have been involved in this business and tried to make it profitable in spite of which the business has functioned consistently at a loss.
The business concentrates on highway barrier systems for parapets and roads, floor decking systems and also frames with light weight for a range of applications. This product range, he added, was being sold to the construction sector, which has not improved after the financial crisis and to market sectors that rely on public purchase that has been drastically impacted by the continuing economic recession. The company attempted to rejuvenate the business but its efforts were to no avail hence they have reached this conclusion.
A complete formal consultation procedure will be conducted for a minimum period of a month with employee representatives and Trade Unions and with each employee individually. The company will try to deploy employees in other plants wherever possible and support persons leaving the business by providing a variety of services.
Several alternatives will be examined during consultation in order to reduce the effect of the closure and to continue with certain major portions of the construction products order book.
Source: http://www.tatasteeleurope.com