Defence firm may hire some Mossmorran workers
A defence firm is considering hiring workers from the Mossmorran site after the planned closure of the Fife ethylene plant, the Scottish Secretary said on Monday. Douglas Alexander confirmed that Babcock has signalled a willingness to explore recruiting some of the 400 workers at risk of losing their jobs following ExxonMobil’s decision to shut down the facility.
Mr Alexander described the meeting with the Scottish Government, Fife Council, trade unions, and local employers as “constructive.” He said the gathering was a “Team Scotland” approach the workforce deserves, though he acknowledged the need for unity rather than political squabbles between the governments involved.
Deputy First Minister Kate Forbes will visit Mossmorran on Tuesday to meet with unions and workers. Ms Forbes has insisted that any reports of conflict between the UK and Scottish governments “does a disservice to the workers.” She argued that the UK Government holds the levers for industrial intervention, citing the recent support for the Scunthorpe steel plant as an example.
The Scottish Government’s priority is to secure a future for the Mossmorran workforce. Officials have been working at pace to consider any actions that could mitigate the impact of this decision on the local economy.
High supply costs were cited by ExxonMobil bosses as one reason the company saw no “competitive future” for the site. Mr Alexander noted there has not been any “serious commercial offer” for the Mossmorran facility that could keep it open.
The plant was due to have a lifespan of about 20 years, but it has now operated for 40 years. It has been losing £1 million a month and has been making losses for five years. Mr Alexander confirmed that he has raised with the UK Government’s Office for Investment his goal to help broker any possible buyer for the facility.
It is often difficult to match the specialized skill sets required for petrochemical operations with defense engineering roles. While Babcock has expressed interest, the practicalities of transferring workers from an ethylene plant to a naval base are non-trivial. Babcock will need to assess whether the existing workforce can be retrained quickly enough to meet their specific needs. This kind of transition usually requires significant investment in training programs and time, which may not be available given the February deadline.
The Scottish Government will participate in the UK Government’s suggested process and attend the meeting organized by the Secretary of State for Scotland and Fife Council today. The Deputy First Minister looks forward to visiting Mossmorran on Tuesday to meet with both workers and trade unions.
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