Workers to strike over ‘fire and rehire’ threats
STAFF AT CITY AIRCRAFT PARTS MAKER SET TO LOSE £3,000
WORKERS at a Leicester aircraft parts manufacturer are set to strike over proposed “fire and rehire” changes to their employment terms and conditions.
Officials at the Unite union claim that the “penury-inducing” proposals will leave employees at SPS Technologies, in Thurmaston, up to £3,000 out of pocket.
The union says that changes put forward by the American-owned business - which makes bolts, pins, screws and nuts designed to work under high-stress conditions in aircraft engines and airframes - will result in unacceptable reductions to overtime, sick pay, paid breaks and shift premiums.
About 200 Unite members employed at the Barkby Road site, off Troon Way, will take part in four days of industrial action - starting today.
A spokesman said the termination of current contracts and rehiring on to new ones would see staff lose “between £2,500 and £3,000 from their annual salaries and force many into financial difficulties”.
Unite said the discontinuous 24-hour strikes, which will take place on March 12, 19, 22 and 26 and a separate overtime ban - will result in “serious disruption” to SPS’s operations.
It added that the workers will be holding socially-distanced picket lines outside the Barkby Road site during the strikes.
Unite regional officer Lakhy Mahal said its members had no choice but to take industrial action, with a ballot carried out at the end of last year sanctioning the move. “Our members are incandescent at SPS’s fire and rehire threats, particularly in light of their hard work keeping the company operational during the pandemic,” he said.
“It is shameful SPS is using this terrible virus as an opportunity to attack its workers’ terms and conditions. These penury-inducing cuts would see workers lose between £2,500 and £3,000 a year for performing the same amount of work.
“If implemented, much of the workforce will be forced to take up pay-day loans and second jobs simply to get by.”
The union said that about 200 staff from the Thurmaston workforce were made redundant last summer, with the firm blaming the global downturn on air travel due to the coronavirus crisis for its decision. That reduced the number employed at the Barkby Road site to 280.
No-one at the factory could be contacted for a comment on the impending strike action.
The firm is owned by jet engine component manufacturer Precision Castparts Corp, which has its headquarters in Portland, Oregon, on the west coast of America.
The Mercury has asked it for comment.
Mr Mahal, of Unite, said: “SPS’s leadership should realise this dispute will continue to escalate until an offer is put forward that our members can accept.
“SPS can prevent the serious disruption these strikes will cause to the company’s operations and reputation by returning to the negotiating table with a serious offer.”
The latest published accounts for SPS Technologies Ltd, for 2019, showed an operating loss of £1.3 million, compared to a loss of £4.4 million a year earlier. Sales were £47.3 million, which was slightly up on the previous year.
The accounts showed the company had net assets last year of £46.8 million, down from £62.2 million, and a pension liability of £31.1 million, which was up almost £8 million. The company said in light of Covid-19: “The forecasted future business activity is insufficient to sustain current employment levels and the company has reduced its workforce to match the drop in future demand.”