Tata Steel Nederland, a subsidiary of Indian steelmaker Tata Steel, has announced that it plans to reorganize its tubes unit to improve its profitability in the face of persistent weakness and competition in the precision tube market. To reduce overcapacity in precision tubes production, three welding lines and two sawing machines will be taken out of operation. The request for advice for the intended restructuring has been submitted to the Works Council and the trade unions have been informed.
The restructuring is expected to result in the loss of approximately 120 jobs. “Regrettably, we must part ways with colleagues at various locations. We will make every effort to minimize forced redundancies and help our employees in finding alternative employment, whether within or outside the company,” Jacob Gerkema, managing director of the tubes unit, said.
