Best Insurance

Tata Steel - 1,500 jobs to go (20-May-2011)

There is unfortunately more bad news for the manufacturing sector. Tata Steel has announced that it will be making 1,500 people redundant. 1,200 in Scunthorpe and 300 in Teeside. While Tata Steel said in its press release that it will be investing £ 400 Million in these divisions over the next 5 years to turn them around, it is of little respite to people who have lost their jobs. Tata Steel blames the poor demand for structural steel that these plants specialise in. Tata Steel says that the demand for structural steel is just a one-third of what it used to be in 2007.

While it is painful to see mass job losses of this nature, with the economy being almost stagnant, many analysts report this as an inevitable effect and impact of government cuts on the economy. On one hand the government wants to save costs by pruning the public sector and on the other, continue to be bullish about private sector creating more job opportunities. The companies in private sector are waiting for banks to start lending and banks are working hard to recover their losses... unfortunately, there are no magic wands and the recovery seems to be slower and more painful than projections.

Stuart Boseley, Director of Best Insurance commented on the latest job cuts by Tata Steel and said, Tata Steel is considered across the world as a compassionate employer and today's redundancies show how deep and wide the problem with the UK's manufacturing sector is.

Redundancies seem to be one of the biggest worry on people's minds and many people continue to protect themselves by buying redundancy insurance and income protection insurances.

Best Insurance is one the UK's largest provider of unemployment insurance and is known for its wide range of payment protection and income protection insurances.