Proactive Investors - A £500 million funding package for the Tata-owned Port Talbot steelworks might involve 3,000 job cuts, according to reports this morning.
Reports yesterday suggested that a funding deal for the decarbonisation of Tata Steel UK's operations was imminent and likely to be confirmed today.
Tata (LON:TISCq), an India-based conglomerate, has demanded hundreds of millions of pounds to keep the plant open and to pay for its two coal-fired blast furnaces to switch to green electricity-powered electric arc alternatives.
Talks have been ongoing for months and the plan agreed is expected to ensure the survival of the plant, said the reports.
Unions said yesterday they have not been consulted about the plans and that alternatives to electric arc furnaces have not been considered.
In a statement, the GMB union said: “We wholeheartedly support the move to modernise and decarbonise the industry, in fact, we have sought this type of investment for years.
“But ignoring technologies outside of electric arc furnaces will mean tens of thousands of people will lose their livelihoods.”
Alun Davies, national officer for the Community union, said: “There must be a full and meaningful consultation on all the options to decarbonise steelmaking and secure the future of every UK plant."
Tata Steel's UK operations employ around 8,000 staff in total.