Union urges oil refinery workers to be furloughed

Aerial view of the Lindsey Oil Refinery with tall chimneys and other industrial infrastructure.
Image caption,

More than 100 staff from Lindsey Oil Refinery staff have been made redundant

  • Published

A union urged the government to furlough workers at an oil refinery ahead of their final day.

Staff at Lindsey Oil Refinery in North East Lincolnshire said goodbye to 124 of their colleagues on Friday, who were made redundant after owner Prax Group went into administration and the site was taken over by the Official Receiver.

Unite regional co-ordinating officer Harriet Eisner said: "This government needs to show workers whose side it is on and furlough the workforce until a buyer is in place."

Energy Minister Michael Shanks said: "Our thoughts are with the workers, their families and the community who have been badly let down by Prax Lindsey Oil Refinery's owners."

The Insolvency Service said the sales process to find potential buyers "remains ongoing".

About 255 employees remain at the site.

Shanks said: "The Official Receiver continues to independently assess the potential bids for the future of the refinery and is now expecting a binding transaction to be reached in the coming weeks.

"While the majority of the workforce is being retained, the Official Receiver has confirmed there are no offers on the table that would see a return to refining operations in the near term to allow for all employees to be retained.

"The Official Receiver informed affected workers on 30 September and we took immediate action to fund a training guarantee to support them to find new, secure, long-term jobs."

Uncertain futures

Conservative MP Martin Vickers, who represents Brigg and Immingham, told the Commons on Thursday that there was "growing concern among union representatives, the local community and possible investors in the refinery that the government do not favour a bid that takes in the entire site and continues refining products".

One potential investor "was considering a judicial review of the process", Vickers added.

A worker who did not want to be named told the BBC there was a "strange atmosphere" at the refinery with colleagues "saying their goodbyes and leaving the gates for good".

"It would be a total dereliction of duty if this government allowed it to be dismantled with the loss of hundreds of jobs, just so that the Official Receiver can pay off super-rich creditors," the worker said.

Remaining staff were "still working towards making the refinery safe" and people were "walking away from the refinery to uncertainty less prepared then they had to be", the worker added.

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