Job cuts in Tata Steel's U.K. operations inevitable, says CEO Narendran

Loss of jobs for around 2,500 workers at Tata Steel’s operations in the U.K., which are in a transition phase, is “inevitable”, the company’s CEO T.V. Narendran said.

Loss of jobs for around 2,500 workers at Tata Steel's operations in the U.K., which are in a transition phase, is "inevitable", the company's CEO T.V. Narendran said.

Fear of job losses has attracted criticism of the workers' unions and they are continuously protesting against the company in the U.K.

India-based Tata Steel owns the U.K.'s largest steelworks of 3 million tonne per annum (MTPA) at Port Talbot in South Wales and employs around 8,000 people across all its operations in that country.

As part of its decarbonisation plan, the company is shifting to low-emission electric arc furnace (EAF) process from the blast furnace (BF) route which is nearing its end of life cycle.

Speaking to PTI, Mr. Narendran said the transition to EAF with the U.K. government aid will make the company competitive in terms of reduced production cost, and also help in reduction of 5 million tonnes of Co2 per year.

"But all this involves 2,500 job losses and that is what the unions obviously are not happy with. And that's a conversation going on with the unions to how can we do it in a smooth as possible way. It is inevitable," he said.

In September 2023, Tata Steel and the U.K. government agreed on a joint investment plan of 1.25 billion pounds to execute decarbonisation plans at Port Talbot steel making facility in Britain.