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Tata to close operations in Cradley, Dudley and Kingswinford
12:21pm Friday 23rd November 2012 in Local
TATA Steel has announced it is closing its sites in Cradley, Dudley and Kingswinford.
The Indian multinational company has blamed a 30 per cent drop in demand in steel for a restructuring which will see a loss of 900 jobs across the UK.
The company’s sprawling Park Road site in Cradley will close with the operation being moved to the company’s Steelpark site in Wednesfield.
Workers at the Cradley site will be transferred to Steelpark, however, the closure of the steel processing centres in Dudley, Kingswinford and Wombourne will see the loss of 107 jobs.
Michael Leahy, general secretary of the Community trade union, said: "This news will be of great concern to many of our members and their families.
"We will be seeking an urgent meeting with the company to ensure our principle of no compulsory redundancies is upheld, although we are pleased to see the company has already committed to offering a package of training and support for those affected by these changes.”
Paul Steele, managing director for distribution in the UK and Ireland, said: “We realise this proposal will be of great concern to our employees. The company will do everything it can to assist those people leaving the business.”
Karl Kohler, chief executive of Tata Steel's European operations, said: "Today's proposals are part of a strategy to transform ourselves into an all-weather steel producer, capable of succeeding in difficult economic conditions.
"These restructuring proposals will help make our business more successful and sustainable, but the job losses are regrettable and I know this will be a difficult and unsettling time for the employees and their families affected.
"We will be working with our trade unions and government at a national and local level to ensure we provide them with as much assistance and support as possible.
"In addition, our subsidiary UK Steel Enterprise will be looking at how it can provide more support to local steel communities and stimulate new jobs following today’s announcement.”