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Sir Keir Starmer says fixing welfare system is a 'moral imperative'
Sir Keir Starmer says fixing welfare system is a 'moral imperative'

BBC News

time2 hours ago

  • Business
  • BBC News

Sir Keir Starmer says fixing welfare system is a 'moral imperative'

Sir Keir Starmer has said the UK's benefits system is broken and fixing it is a "moral imperative", a day after a backbench Labour revolt saw him forced into a U-turn on welfare prime minister told the Welsh Labour Party conference in Llandudno that the government would not take away the welfare "safety net that vulnerable people rely on".But he said he couldn't let benefits "become a snare for those who can and want to work". Despite the government's concession on its plans to reform welfare, there are calls from MPs for further changes, while the Unite union has called for the proposed changes to be dropped altogether. Speaking at the conference in north Wales on Saturday, Sir Keir said fixing the "broken" benefits system needed to be done because it was "failing people every day", leaving "a generation of young people written off for good and the cost spiralling out of control". "Fixing it is a moral imperative, but we need to do it in a Labour way," he added. The government's initial plans, aimed at bringing down the welfare bill, would have made it harder for people to claim personal independence payment (Pip), a benefit paid to 3.7 million people with long-term physical or mental health following a rebellion among Labour MPs and the likelihood the government would be defeated in the Commons, the government announced the stricter criteria would only apply to new reversed its plans to freeze the health-related component of universal credit, and the payment will now rise in line with inflation for existing will also carry out a review of the Pip assessment process, with input from disability organisations.A £1bn support package to help people into work, originally scheduled for 2029, will be fast-tracked. Labour MP Diane Abbott told BBC Radio 4's Today programme that she thought the result of a vote on the new plans would be tight, partly because backbenchers are still "upset about the lack of consultation" and because of "the notion of a two-tier benefit system".But former Labour justice secretary Lord Falconer told the programme that "sensible" changes to the welfare reforms were "pretty significant", and that he believed opposition among Labour MPs was "shrinking and shrinking".Debbie Abrahams, the Labour MP who chairs the Work and Pensions Select Committee, told the BBC on Friday: "The concessions are a good start, they are very good concessions and they will protect existing claimants."However there are still concerns about new claimants. It would not be right for me not to do anything just to spare the prime minister an inconvenience."Ahead of Sir Keir's conference speech, Unite called for the "entire welfare bill to be dropped and for the government to start again", with general secretary Sharon Graham accusing Labour of "attacking the most vulnerable in our society"."The government's latest plans for disabled benefits cuts are divisive and sinister," she said. "Creating a two-tier system where younger disabled people and those who become disabled in the future will be disadvantaged and denied access to work and education, is morally wrong."

'No plan' to save Alexander Dennis bus firm jobs
'No plan' to save Alexander Dennis bus firm jobs

BBC News

time3 days ago

  • Business
  • BBC News

'No plan' to save Alexander Dennis bus firm jobs

Unions have described delays in drafting a plan to support workers at bus manufacturer Alexander Dennis as a "political failure".Earlier this month it emerged the company was planning to move its full operation to a site in Scarborough, North intends to close two sites in Falkirk and Larbert and consolidate the work south of the border, which could lead to the loss of 400 jobs.A 45-day consultation on the plan is currently under way but the unions want it extended as the plant begins its annual two-week Falkirk Fair shutdown on Friday. On Wednesday unions gave evidence to Holyrood's Economy and Fair Work are examining Alexander Dennis' proposals to close its Falkirk operation and end manufacturing in nearby Deavy, from the GMB union, and Derek Thomson, from Unite, were questioned by MSPs for just over an Thomson said: "Our concern grows and grows by the day as there's no immediate plan coming forward."Mr Deavy described the situation as "a political failure that requires a political solution".He called for trade unions, politicians and the company to come together. The Scottish government previously said it would leave "no stone unturned" to try to save the site, including the possibility of a time-limited furlough Thomson told the committee this could be used to try to prevent job theory it would support staff for a few months until work on new bus orders could get under believed guidance from the Cabinet Office could make the direct award of work Deavy said a furlough scheme would be a "last resort" and that the company had told them that conversations with the Scottish and UK governments on a such a proposal had been very said the most important thing in the short term was to try to win new trade union official also warned that there had been no reassurance from the company that, if they won new contracts, the work would go to Falkirk and unions were asked if they knew why the company had chosen to consolidate operations in Scarborough rather than Deavy responded: "We raised that but got a frosty reception."He noted that pay in Scotland was £1.87 an hour more than in Scarborough but the union did not want to talk about a race to the unions also said investment was needed in the Falkirk site although the Larbert operation was Thomson said the unions would hope to have some idea of the UK and Scottish governments plans by were also told buses built in China are around £100,000 cheaper than buses built at the Scottish factories facing of Alexander Dennis are due to give evidence to the committee on Thursday.

Jobs at risk as Saudi firm Sabic confirms closure of Olefins 6 cracker on Teesside
Jobs at risk as Saudi firm Sabic confirms closure of Olefins 6 cracker on Teesside

ITV News

time3 days ago

  • Business
  • ITV News

Jobs at risk as Saudi firm Sabic confirms closure of Olefins 6 cracker on Teesside

A chemical plant is set to close on Teesside following a decision by its Saudi owner. It is understood about 100 jobs could be at risk at the Olefins 6 cracker, on the Wilton site at Redcar, as a result of the permanent closure which was confirmed by SABIC on Wednesday (25 June). Union bosses have labelled the move as a "devastating blow" to workers and the local economy. Petrochemical group Sabic said it regretted the decision which was communicated to employees and stakeholders this morning. A spokesperson said: "This decision is the result of a thorough analysis aimed at optimizing competitiveness and aligning with Sabic's long term strategic priorities to ensure the company remains agile and resilient in an evolving global landscape. "Sabic is committed to carrying out a meaningful collective consultation with employee representatives and a fair redundancy process consistent with applicable legal requirements, as well as implementing other support measures aimed at minimizing the impact on employees. "The exact number of job losses will be determined once this consultation has been completed." Unite said about 100 of its members face redundancy. The union's regional officer, Fazia Hussain-Brown, said: "The potential loss of so many jobs in the area is a devastating blow to our members and their families, as well as the local economy. "Unite will be actively engaging with Sabic throughout this consultation process, using all of the resources available to support our members." Sabic's Olefins 6 facility, which opened in 1979, produces the raw material ethylene. It has been offline since the end of 2020 and was due to be converted to run entirely on gas feedstocks. Since it has been down, Unite members have been paid to keep the plant safe and to have it ready to come back online for future operations. The union said its owner, Saudi-run Sabic, made a net profit of almost £300m, last year. However, last month it was reported that the firm could be looking to sell its European petrochemicals business amid high energy costs. The SABIC spokesperson added: "Sabic's LDPE plant operations in Teesside will continue to operate normally. "The company's priority is to support our employees during this difficult time and to remain focused on the safe, compliant, and reliable operation of its remaining assets on Teesside. "SABIC will continue to focus on enhancing operational efficiency to position the company for sustainable long-term profitable growth."

Unions say Alexander Dennis move to England is a 'political failure'
Unions say Alexander Dennis move to England is a 'political failure'

The Herald Scotland

time3 days ago

  • Business
  • The Herald Scotland

Unions say Alexander Dennis move to England is a 'political failure'

Union representatives told MSPs that while the proposal has not yet been finalised, the move could endanger approximately 400 Scottish jobs. This news follows the loss of more than 400 jobs just a few miles away in Grangemouth, where the local oil refinery recently closed and was converted into an import terminal. Derek Thomson, the Scotland regional secretary for trade union Unite told economy committee MSPs: 'It'll be catastrophic in Falkirk and Larbert to lose that amount of jobs.' Read more: And Robert Deavy, the senior organiser for manufacturing with GMB Scotland said the situation would require a political intervention to resolve. 'Speaking to our members, this is something that we as a union have been raising for some time – I'm pretty sure Unite have been as well,' he said. 'We believe that this is a political failure that now requires a political solution. He added: 'Now we need everyone to come together – trade unions, politicians and, really importantly, we need ADL involvement on this.' The bus firm at the centre of a row over its move to England after receiving £90 million of public money for Scottish jobs had been offering a grain of hope of a reprieve for hundreds of jobs - following government intervention. Alex Salmond and Nicola Sturgeon launched their financial case for Scottish independence at Alexander Dennis (Image: Newsquest) The Scottish Government was accused of "strategic neglect" after the Herald revealed the extent of support Alexander Dennis (ADL) has had - while the First Minister was warned last year that it was "reconsidering" its "entire investment" in Scotland. And the SNP-led Scottish Government and the Labour-led UK Government have agreed to establish a joint working group to discuss options to find a solution and avert job losses. They are looking at how far they 'can push' the UK 'state aid' rules set out in the Subsidy Control Act 2022 to create a support package to save the 400 jobs. Alexander Dennis has said that they are engaging with both governments "in good faith on the possibility of any intervention" and stressed that a final decision on the move had not yet been made. The committee is due to take evidence from the bosses of ADL in a special session on Thursday. The company, the unions said, is losing out on contracts to cheaper foreign alternatives as a result of their lower costs, with Mr Thomson calling for direct awards to be made from Government to the company and for workers to be paid until work on the contracts begins. 'What we understand is that pending those direct awards or contracts being done, there is a four month gap between bringing those contracts online and the end of the consultation period,' he said. 'What we have been asking for and speaking to the Deputy First Minister about is a time-limited furlough scheme where we can support those workers through that period of the contract being awarded.' Mr Thomson stressed, however, that ADL would need to agree to continue production in Scotland, rather than winning the contract and building the buses at Scarborough. The union leader said the furlough cost is expected to be between £4 million and £5 million. Speaking to journalists earlier this month, First Minister John Swinney said the Government was considering a furlough scheme. Mr Deavy warned MSPs that, if the sites close, then 'the skills are lost forever' in the area.

Sabic confirms closure of Teesside chemical plant with jobs to go
Sabic confirms closure of Teesside chemical plant with jobs to go

BBC News

time3 days ago

  • Business
  • BBC News

Sabic confirms closure of Teesside chemical plant with jobs to go

Hundreds of workers could lose their jobs after the manufacturing and chemicals giant Sabic announced the closure of its site in north-east Saudi Arabian firm, one of the world's largest petrochemical manufacturers, will shut its Olefins 6 cracker plant in Wilton, Teesside, after 46 years of it exact number of job losses is not yet known but the firm currently employs 330 people at the said its decision was the result of a "thorough analysis aimed at optimising competitiveness", but Unite said the news was a "disgrace" from a profitable company. The firm made a net profit of almost £300m last year but last month it was reported that Sabic could be looking to sell its European petrochemicals business amid high energy Teeside Olefins 6 cracker facility produces the raw material ethylene to make building blocks for a variety of company produces chemicals, fertilisers, plastics and metals at its plant in Wilton, near Redcar, but also has storage and logistics facilities in North Tees and Teesport. 'Devastating blow' Its Olefins 6 facility had been offline since the end of 2020 and was due to be converted to run entirely on gas feedstocks. Unite said its members had been paid to keep the plant safe and ready to come back online for future Graham, Unite general secretary, said: "It is a disgrace that valued workers are being threatened with redundancy by a profitable company."Fazia Hussain-Brown, Unite regional officer, said the potential loss of so many jobs was a "devastating blow".She said there were "few options" for alternative employment for the workers which had "understandably" caused "a lot of anger". 'Support our employees' Consultations are expected to begin on 1 said the decision to shut the plant was also down to ensuring "the company [remained] agile and resilient in an evolving global landscape".They told the BBC: "Sabic is committed to carrying out a meaningful collective consultation with employee representatives and a fair redundancy process consistent with applicable legal requirements, as well as implementing other support measures aimed at minimising the impact on employees. "The company's priority is to support our employees during this difficult time and to remain focused on the safe, compliant, and reliable operation of its remaining assets on Teesside."They confirmed the LDPE plant operations in Teesside would continue to operate normally. Follow BBC Tees on X, Facebook, Nextdoor and Instagram.

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