The proprietor of metal big Tata raked in £3 billion of income final 12 months, it has been revealed by Unite the Union, after the corporate introduced that it was axing round 3,000 jobs within the UK resulting from ‘monetary causes’.
Indian-owned Tata Metal UK final week confirmed plans to axe as much as 3,000 British jobs. Most will go at its Port Talbot plant in South Wales with the closure of its two blast furnaces this 12 months.
Many of the jobs are anticipated to go by September, with the bulk in Port Talbot the place the steelworks might be transitioned to a greener electrical arc furnace, which would require a smaller workforce however might be environmentally pleasant to function.
The Authorities is giving Tata £500million of taxpayers’ cash to assist pay for the brand new electrical arc furnace on the web site.
Tata says that it was shedding almost £1.5million a day within the UK, nonetheless Unite the Union has slammed the corporate’s ‘pleas of poverty’ as a ‘sham’.
The union says that its analysis has revealed that Tata Metal Restricted, the direct mother or father firm of Tata Metal UK Restricted made £3 billion in EBITDA and £900 million in web income in 2022/23. Tata Metal Restricted has reserves of £1.6 billion and has paid out dividends of £1.4 billion to shareholders between 2019 and 2023.
“Within the final 5 years Tata Metal Restricted’s income has grown by 47 per cent and it has generated a mixed revenue of £9.7 billion throughout that interval. Tata Sons – mother or father firm of Tata Metal Ltd is the huge Indian holding firm of Tata Metal. Its firm returns describe 2023 as its “finest ever”, Unite mentioned in a press release.
Unite common secretary Sharon Graham mentioned: “Tata’s pleas of poverty have been uncovered as a sham. They’re creating wealth hand over fist and can solely revenue from bringing in additional Indian and Dutch metal to the UK if we minimize capability.
“It’s unbelievable that the federal government goes together with this. Slightly than demanding that the wanted funding comes with jobs ensures and development for UK metal – they’re giving Tata half a billion of taxpayers’ cash to slash its workforce and flood the UK with international metal.
“Port Talbot is way from the basket case that Tata has painted it as, there may be an underlying wholesome enterprise, which could possibly be reworked by severe funding to extend capability, with the UK changing into the inexperienced capital of metal.”
Basit Mahmood is editor of Left Foot Ahead
The publish REVEALED: Owner of steel giant Tata raked in £3billion profit last year as it axes 3,000 jobs in UK over ‘financial reasons’ appeared first on Left Foot Forward: Leading the UK's progressive debate.