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Last Updated: Thursday, 19 August, 2004, 11:26 GMT 12:26 UK
Scots closure to safeguard jobs
Aluminium ingots
The company says increasing global competition has prompted the move
Aluminium company Alcan says it is considering closing a Scottish plant in a move which could safeguard hundreds of jobs at a sister plant near Newport.

The company's mill at Falkirk will close with the loss of 85 jobs if the move goes ahead.

Alcan wants to consolidate its rolling operation and is planning a �6m investment in the Welsh plant.

A 30-day consultation period is due to begin next week and the Falkirk plant could shut by the end of the year.

Alcan says the consolidation has been put forward after a review of its UK sheet rolling activities against the background of increasing global competition.

It is good news for employees at Rogerstone as the new investment will mean a brighter future for the plant
Alcan's Peter Gibbs

The Rogerstone plant currently has 324 employees and Alcan says there will be a number of new jobs created there if the Scottish plant closes.

Alcan general manager of sheet rolling UK, Peter Gibbs, said: "There are, of course, mixed feelings about today's announcement because of the proposed closure of Falkirk.

"At the same time, however, it is good news for employees at Rogerstone as the new investment will mean a brighter future for the plant here as we improved our offering to customers both in the UK and in export markets."

The Rogerstone mill and the Falkirk one are already a linked operation, said a spokeswoman.

Under the move the finishing and cold rolling currently carried out in Scotland would be transferred to south Wales.

Age profile

John Elliott, regional industrial organiser for the TGWU union, said news of the Falkirk closure had come as a disappointment, but not a shock.

"I understand the company is looking at the possibility of transferring some of the jobs to south Wales.

"It may be of interest to some of the employees to make that move but the age profile of the workers isn't that young and they may not want to," said Mr Elliott.

Alcan has 17 other plants in the UK employing a total of 4,100 staff.

Four years ago it halved its workforce at Rogerstone with 300 job losses, blaming competition from aboard and the strength of the pound.

A year before, Alcan closed its kitchen foil plant at Newport with 220 job losses and 200 jobs were lost in Glasgow.


SEE ALSO:
Alcan cash boost for Fife town
13 Apr 04  |  Scotland


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