Join the Socialist Party Join us today!

Printable version Printable version

Facebook   Twitter

Link to this page: https://www.socialistparty.org.uk/issue/473/2041

From The Socialist newspaper, 7 February 2007

Corus deal threatens new cost-cutting

LIKE A scene from Casino Royale, magnates from Tata and CSN steel companies played a hard game of bluff and counter-bluff to win ownership of Corus, the Anglo-Dutch steel company. But in this case, the chips they tossed onto the table were the lives and livelihoods of 7,000 Welsh steelworkers working at Port Talbot, Llanwern and Shotton.

Dave Reid

The two companies were locked into an auction to buy Corus. The victors were Tata, the Indian steel combine, bidding 608p a share or 5.75 billion for the company after CSN bowed out of the bidding at 603p a share.

But the higher the bids went the worse the likely outcome for Corus workers as the new owners, forced to pay more for the company, will look for economies and savings from their new asset.

The big winners are Corus shareholders who made a huge bundle and walk away from the casino with their wallets bulging. The big losers are Corus workers who built the company through their labour and in some cases sacrificed their lives while Corus made money hand over fist.

The families of three workers killed in a blast furnace explosion at Port Talbot steelworks in 2001 blamed Corus for lack of health and safety. One of them accused the company in court of "paying for the replacement shiny new blast furnace with their blood".

Now the new owners will look carefully at cutting costs to pay for the takeover. Workers still remember the closure of steel-making at the profitable Llanwern steelworks where jobs were lost to appease City institutions and maintain the value of Corus shares even though Corus lost valuable steel-making capacity at a time of a global shortage of steel.

Corus steelworkers will brace themselves for fresh battles with the new owners.


No philanthropy from Tata

A WORKER at Port Talbot steel works gives his views on the takeover by Tata.

THE UNION Community received assurances that "TUPE" regulations will apply so all existing terms and conditions should be taken on by Tata. If Tata enters administration in the UK it will continue to trade internationally as in that respect Corus UK is a separate company. In the event of closure, the union has no idea what the final redundancy package will be.

My personal view is that, despite press stories about the Tata family being wonderful philanthropists and never having had an industrial dispute, they are capitalists who made a fortune out of "liberalisation" of the Indian economy and will take whatever steps are necessary to maximise their profits.

When asked about the prospect of importing steel slabs into Port Talbot, the head of Tata steel section said that is not going to happen but in the next breath he said "not for another three years anyway."

This sounds to me like it can happen and probably will. Obviously, the closure of the works, or even part of it, would be devastating for the town and the local community.

Why not click here to join the Socialist Party, or click here to donate to the Socialist Party.


In The Socialist 7 February 2007:

BLAIR MUST GO!

Sold to big business

Can the Left reclaim Labour?

Merseyside Campaign for a new workers' party

Website of the Campaign for a New Workers' Party


Civil servants' strike

Interview with Mark Serwotka: "This is just the beginning of the campaign"

Welsh strikers close down Assembly


Socialist Party NHS campaign

Anger at union leaders' timidity

Manchester nurses strike against health cuts


Environment

Change the system not the climate!

Bush's bio-fuel bull


Socialist Party news and analysis

Has Manchester struck it lucky?


Socialist Party campaigns

Camden council blames cuts on 'spending gap'

Don't privatise social housing!

Tenants pay when things go wrong

Coventry - a victory for determination


Socialist Party Marxist analysis

Rising anger and discontent in Europe


International socialist news and analysis

Darfur - another failure of Western 'conflict resolution'

Sri Lanka: Keep up the protests


Socialist Party Marxist analysis

The writing on the Chinese wall


Workplace news

Stop the Valentine's Day pay massacre !

Striking back at the privateers

Corus deal threatens new cost-cutting

Cabin crew angry over BA deal

May Day greetings


 

Home   |   The Socialist 7 February 2007   |   Join the Socialist Party

Subscribe   |   Donate  




Related links:

Corus:

triangleTata steel: Act now - fight for nationalisation

triangleConstruction workers fight pay cuts

Steel:

trianglePowerful picture of the Port Talbot steel workers' struggle

triangleThyssenKrupp - Tata steel merger

triangleHow the Single Market blocks socialist policies

triangleSteel workers at Rom Ltd strike for a pay rise

Reports and campaigns

Reports and campaigns

22/2/18

UCU

Lecturers strike around country in defence of pensions

21/2/18

Strike

German engineering strike puts shorter week on agenda - but could have won more

21/2/18

Cardiff

Cardiff Refugee Rights gig success

21/2/18

Nottingham

Nottingham hospital black alert

21/2/18

East Midlands

Lively discussion at East Midlands Socialist Party conference

21/2/18

West Midlands

Tremendous determination on show at West Midlands conference

21/2/18

Wales

Successful Socialist Party Wales conference sets tone for the year ahead

21/2/18

Bradford

Bradford protests against kids' service cuts

21/2/18

May Day

May Day, May Day! Celebrate solidarity!

21/2/18

Kirklees

Labour councillors push through savage cuts in Kirklees budget

21/2/18

Salford

Save Salford nurseries!

21/2/18

Caerphilly

Victory: Pontllanfraith leisure centre saved

21/2/18

Council

Northants council crisis - protesters demand an end to cuts and privatisation

21/2/18

Leicester

Leicester Uni makes Tory fee tripler David Willetts chancellor - sack Willetts!

21/2/18

UCU

Bosses divided - university pension strikes can win!

triangleMore Reports and campaigns articles...


Join the Socialist Party
Subscribe to Socialist Party publications
Donate to the Socialist Party
Socialist Party Facebook page
Socialist Party on Twitter
Visit us on Youtube

LATEST POSTS

CONTACT US

Phone our national office on 020 8988 8777

Email: info@socialistparty.org.uk

Locate your nearest Socialist Party branch Text your name and postcode to 07761 818 206

Regional Socialist Party organisers:

Eastern: 0798 202 1969

East Mids: 0773 797 8057

London: 020 8988 8786

North East: 0191 421 6230

North West 07769 611 320

South East: 020 8988 8777

South West: 07759 796 478

Southern: 07833 681910

Wales: 07935 391 947

West Mids: 02476 555 620

Yorkshire: 0114 264 6551

ABOUT US

ARCHIVE

Alphabetical listing


February 2018

January 2018

2017

2016

2015

2014

2013

2012

2011

2010

2009

2008

2007

2006

2005

2004

2003

2002

2001

2000

1999