Union denies Corus pay cut deal

UNION leaders representing thousands of steelworkers at Corus have denied they have agreed to a 10 per cent pay cut to save jobs.

It had been reported the three unions representing Corus workers had discussed the option of cutting pay by 10 per cent for six months to stave off job losses.

But a Community Union spokesman said: "Community Union has recently met with Corus management to discuss a response to the current economic situation.

"These negotiations are on-going and it would be premature to speculate on the outcome. Nothing has been agreed at this time.

"Closing Llanwern has not been part of the discussions.

"Community Union's priority is to help our members through this crisis and avoid the need for extended lay-offs.

"Union representatives will be gathering in London today to discuss these ongoing issues."

Corus employs almost 3,000 in Port Talbot and 400 in Trostre.

It was announced in November production was being cut by 30 per cent at Port Talbot with some blast furnaces being temporarily shut down.

With bosses pushing for more cost reductions the long-term future of the Llanwern site in Newport was cast into doubt this week by reports in the Financial Times, which also suggested workers were prepared to take a pay cut.

The Newport plant is one of the last remaining steel factories in the UK and employs around 1,000 people.

Corus also operates production plants at Scunthorpe in Lincolnshire and Rotherham in South Yorkshire.

Owned by Indian industrial giant Tata Group, last month it cut 400 posts from its distribution business.