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Dennis the 'Bloody Peasant'
23rd October 2013, 12:37
The petrochemical plant at the giant Grangemouth complex in central Scotland is to close.
Ineos made the announcement following a meeting with the workforce at the plant and its associated oil refinery.
The company said a decision on whether to restart the refinery would be taken once the "threat of strike action" had been removed.
About 800 people are directly employed by the petrochemical plant, with more employed as sub-contractors.
The dispute at the plant, near Falkirk, began over the treatment of a union official and escalated to the threat of strike action.
This was dropped but the operator shut down the plant and issued an offer of revised terms and conditions in a "survival plan", which was rejected by union members.
Workers leaving the staff meeting, which lasted about 20 minutes, told the BBC the decision to close the plant was "shocking".
One member of staff claimed that Grangemouth Petrochemicals chairman Calum Maclean had been "smiling" when he made the announcement.
Another worker, who did not want to be named, said: "I feel sick. It's gone. There's no livelihoods left and we don't even know if we're going to get redundancy out of it. I hope they're happy with themselves."
The worker, who appeared close to tears at points, said he could only listen to about 10 minutes of the meeting, before he felt he had to leave.
He went on: "There are folk in there have a husband and wife work here. That's it. Folk will be lucky if they have a house at Christmas."
Ineos said liquidators for the petrochemical plant would be appointed within a week.
Ineos chairman and founder Jim Ratcliffe had said at the weekend that if the petrochemical plant closed it was likely the refinery would go as well.
The refinery provides most of the fuel to Scotland, the north of England and Northern Ireland.
In a statement released after the staff meeting, Ineos said: "The company made it clear that rejection of change would result in closure. Regrettably, the union advised union members to reject any form of change.
"The outcome of the employee vote on the company's survival plan was a 50/50 split.
"Within this, almost all of the administrative staff voted for the company's plan but a large majority of shop floor employees voted to reject it.
"The shareholders met yesterday to consider the future of the business following the result of the employee vote.
"Sadly, the shareholders reached the conclusion that they could not see a future for Grangemouth without change and therefore could no longer continue to fund the business."
The company added: "As a result of this decision, the directors of the petrochemicals business have had no option but to engage the services of a liquidator. It is anticipated that a liquidation process will commence in a week."
Calum MacLean, chairman of Grangemouth Petrochemicals, said: "This is a hugely sad day for everyone at Grangemouth.
"We have tried our hardest to convince employees of the need for change but unsuccessfully. There was only ever going to be one outcome to this story if nothing changed and we continued to lose money.
"We still struggle to comprehend what has happened here. The employees were offered a chance to secure substantial new investment in the company, preserve their jobs and keep their salaries. Sadly this will no longer be the case."

(BBC News)

Hit The North
23rd October 2013, 14:02
Report from Socialist Worker

Bosses at Scotland’s biggest oil refinery are holding nearly 1,400 workers and the Scottish government to ransom.
Jim Ratcliffe, super*yacht owner and boss of oil and chemicals giant Ineos, put large sections of the Grangemouth oil refinery into “cold shutdown” on Wednesday of last week.
He threatened to keep it closed unless workers signed up to a “survival plan” involving massive attacks on their working conditions and union rights by Monday of this week.
Those who don’t could be fired and re-hired on the new terms.
Tanker driver Tony said, “The whole of Grangemouth should come out, this affects everyone. We stopped an attack on our pensions, but if Ratcliffe wins they will be coming back for us next.”
Ineos also claims that if it doesn’t get its way—both in attacking its workers and getting more subsidies out of the British and Scottish governments—it may close the entire plant.
The workers’ Unite union called on them to reject the new conditions—which include worse redundancy terms, lower wages for new starters and an end to the final salary pension scheme.
Two in three workers refused to sign up—despite the threat of the sack and a £15,000 bribe.
More than 400 workers and supporters rallied at the refinery last Sunday.
Bully
“If you allow the school bully to take your apple, then he wants your dinner money,” said Unite convenor Mark Lyon. “This never ends until you stop them.”
Electrician Tom Curtis told Socialist Worker, “This will affect all Grangemouth workers. These Ineos bosses are holding the whole country to ransom.”
Unite members at Ineos had been set to strike on Sunday of last week and Monday of this week against the victimisation of union rep Stephen Deans.
But it quickly became clear that much more was at stake.
Ineos walked out of talks at the Acas conciliation service on Tuesday of last week—and Unite responded by calling off the strike. This was a mistake. It gave the bosses the green light to go on the offensive.
And Unite is offering to meet the bosses’ demand of a promise not to strike or even ballot for strikes until at least the end of this year.
Grangemouth supplies petrol and aviation fuel across Scotland and parts of England. This gives workers there an immense power to cause disruption, which they have used to great effect.
Most recently BP tanker drivers there defeated an attack on their pensions earlier this year. They were helped by other Grangemouth workers who refused to handle oil from scab tankers.
Construction workers at Grangemouth also played a key role in defeating the bosses’ Besna project of pay cuts and deskilling.
Ineos is determined to break that power. Unite needs to use it.
http://socialistworker.co.uk/art/36655/Stop+Ineos+bosses+blackmail+at+Grangemouth+oil+ref inery

Dennis the 'Bloody Peasant'
24th October 2013, 09:19
Union leaders will make concessions to try to save Grangemouth petrochemical plant when they meet management later, the BBC understands.
All 800 employees were told they would lose their jobs when owner Ineos announced the closure of the facility.
Employees had rejected proposals by the firm to end their final salary pension scheme and cut shift allowances.
Unite is now set to accept this plan in talks on Thursday on the future of one of Scotland's largest industrial sites.
Ineos warned that the petrochemical plant had no future unless its proposals were approved.
The company said it had decided to close the plant because half the workforce had refused to accept the cost-cutting plan essential for the facility's survival.
BBC Scotland correspondent Colin Blane said the Unite union appeared to be shifting its position and ready to accept the survival plan.
Local management said it would pass on any change in the union's position to shareholders - but there would still be a big hurdle to get over.

(BBC NEWS)