Corus today confirmed that 3,500 jobs are at risk as it seeks to restructure the business in the face of falling steel demand
The 3,500 jobs announced today are in addition to the 400 redundancies made by Corus last November in their distribution business.
Other measures taken by Corus include
- sale of Corus’ aluminium smelters in Germany and the Netherlands
- advanced discussions on the sale of a majority stake in Teesside Cast Products.
- mothballing of the Llanwern hot strip mill
- a company-wide review to reduce costs of support functions such as IT, Finance and Human Resources by around 20% and closure the defined benefit pension scheme to new recruits.
A statement from Corus said:
"Today’s initiative is strategic and structural in nature. Elements of the initiative comprise long-term plans that were already under consideration, but which have been brought forward as a result of the slowdown. It should bring annual improvements in operating profit of more than £200m. It will also put around 3,500 jobs at risk around the company as a whole. Corus currently employs about 42,000 people."