Union in last-ditch talks to save Grangemouth plant

A flurry of meetings were held yesterday, with Unite saying it was working to persuade owners Ineos to reverse its shock decision to close the petrochemical complex.

General secretary Len McCluskey said the union had decided they had to embrace the survival plan, “warts and all”, in the wake of the closure decision.

Managers were said to be discussing “everything that has been said”, before deciding whether to reverse the decision to close the petrochemical side of its business, with the loss of 800 direct jobs and up to 2,000 contractors. An announcement from the company is expected today.

UK government officials have admitted it would be a “challenge” to find another company to buy the business, which Ineos has said is losing £10m a month.

The losses, scale of investment needed to upgrade the site, coupled with the industrial relations would all have to be considered by any potential buyer, officials said. But they insisted there would be no shortage of fuel supplies as a result of the dispute, which has led to the petrochemical site and adjoining oil refinery being closed for the past week.

Contingency plans are already in place which include increasing imports as well as output at other terminals, including Ross and Clydebank. Hauliers also have “strong” arrangements in place, including provision for long range deliveries from the North of England.

Ministers from the Scottish and UK government held talks with Unite and management, saying later that both were doing all they can to keep the site open.

Workers at the petrochemical site, and adjoining oil refinery, had refused to sign up to a survival plan, which included a pay freeze, ending of the final salary pension scheme, and other changes to terms and conditions.

Politicians have urged the two sides to resume talks while efforts are expected to be made to find a potential buyer.