Tata Steel unveils new United Kingdom tailor welded blanks line

Tata Steel unveils new United Kingdom tailor welded blanks line

However, a spokesperson for GMB, one of the unions representing Tata workers, stressed that today's vote did not resolve whether or not the British Steel Pension Scheme would fall into the Pension Protection Fund, which would see pension savers lose 10 per cent of the their retirement pots.

Tata has agreed, upon a vote in favor of pension reform, to an investment plan for the United Kingdom business, and to job guarantees and a two blast furnace operation at Port Talbot for the next five years.

Tata's offer includes a £1bn investment commitment at Port Talbot and no compulsory job losses.

Responding to the results, Roy Rickhuss of Community, said: "This result provides a mandate from our members to move forward in our discussions with Tata and find a sustainable solution for the British Steel Pension Scheme".

It is also a victory for union bosses from GMB, Unite and Community who urged their members to vote in favour of the proposals at the end of January.

They were asked whether they would accept moving from a final salary pension to a less generous scheme. Nobody wanted to be in this situation, but as we have always said, it is vital that we now work together to protect the benefits already accrued and prevent the BSPS from free-falling into the PPF. "The UK government must now work in lockstep with the Welsh government and put steel at the heart of a manufacturing industrial strategy which ensures UK steel is used in all major infrastructure and defence projects", said Unite national officer Tony Brady.

Paul Steele, Managing Director of Tata Steel's UK Distribution business, said: "The latest investment in the Automotive Service Centre greatly increases our capabilities and means we can offer our automotive customers a complete, highly-specialised service. The UK Government still has an important role to play and we fully expect them to deliver tangible support for steelmaking in the UK".

However, unions also pointed out the government and company should honour the vote from steelworkers by supporting the industry going forward.

A United Kingdom government spokesman said the "positive step" was "testament to the commitment of its workforce that they are willing to work so constructively with the owners to secure the future of the plant". Thousands of skilled jobs rely on steelmaking and the industry supports the whole United Kingdom manufacturing sector.

The pension fund and its deficit were the reason that attempts by Tata to sell its United Kingdom steel business failed a year ago. Following that, the process-ready steel can either be supplied to vehicle manufacturers directly, or sent to sites such as Tata Steel's Automotive Service Centre in Wednesfield for processing through one of its many automotive-market focused production lines.

700 people are employed at tata Shotton.