A plant that is vital for our growth
Jan 11 2010 by Chris Knox, The Journal
LAST week the Department for Business Innovation and Skills published the Government's latest take on industrial strategy, entitled 'Going for Growth; Our Future Prosperity', welcomed by the TUC.
The TUC response emphasises that the Government must be ‘part of the [economic] solution’.
The strategy seeks to create an environment where entrepreneur- ialism can flourish, where people are equipped with the skills and confidence to capitalise on a knowledge-intensive economy, that builds on our ‘industrial strengths.’
This week, the Regional Select Committee is holding a series of hearings into the impending disaster that is the ‘mothballing’ (described bluntly, and accurately, by the Community trade union as closure) of the Tata Corus Teesside Cast Products steel furnaces.
The potential loss of 1,700 skilled jobs in an area that remains one of our industrial strengths, with at least as many reciprocal job losses, would completely fly in the fact of the aspirations of ‘Going for Growth’.
The fairly rapid response to the announcement last month to mothball the site was and is very welcome.
The significant additional resource to support apprentices and other workers losing their jobs, plus considerable finance available to develop the introduction of low carbon manufacturing companies show the determination of the Government to ensure that there is an effective safety net for the Teesside economy to cushion the impact of TCP closing.
An industrial policy that seeks to ‘build on our strengths’, however, requires a determined focus on keeping TCP producing steel.
The metals and minerals industry contributed £800m toward the regional economy in 2008, it remains a crucial constituent of our industrial base.
Losing this would be a major blow. As quickly as all parties want future investment to be in the area, it is likely to be some time before the scale of jobs on offer could meet the outflow of jobs from TCP, on top of an already growing rate of unemployment.
It is a time for the Government to be bold and radical.
There is a common prediction for an increase in the demand for steel. The Select Committee will hear calls for the Government to consider options from nationalisation to short-term wage subsidies.
It must seriously do so. Anything short of every effort to keep workers making steel will be losing not building on our strengths.
Kevin Rowan, Regional Secretary, Northern TUC
