JOBS at a struggling Llanelli car parts company could be protected after the firm bids to join the Assembly Government's £48m ProAct scheme, says Joyce Watson AM.
The Labour Mid and West Wales Assembly Member encouraged Thyssen Krupp Tallent to apply for the scheme after the company was forced to cut jobs and introduce lay-offs last year.
Up to 30 job losses were announced at the plant in Felinfoel in late September due to reductions in volume from its two main customers, Land Rover and Bentley. This increased to 53 before Christmas. In addition, the company had to lay off workers for 7 days in December when Land Rover was closed.
The company also reached an agreement with the trade union for 7 days lay off in 13 weeks (mid December to mid March). Employees were to be paid 50 per cent of basic pay for the lay off days.
Joyce met with workers in November and called on First Minister Rhodri Morgan to ensure any workers laid-off would have the opportunity to retrain and update their skills. She also organised a meeting with Economy Minister and Deputy First Minister Ieuan Wyn Jones and the plant's managers to discuss the situation.
In January, the Assembly Government launched the ProAct scheme in response to the global economic downturn. This scheme enables companies that have taken the decision to lay workers off to apply for a grant. Employees who would otherwise be made redundant or put on short-time working can receive training so the business can exploit the economic upturn when it arrives.
Joyce encouraged managers at Thyssen Krupp to apply for the grant to help the 100 staff at the plant.
The company, which has also been able to take on some temporary employees after Wagon Industries in Walsall closed creating some work for Land Rover and Ford, is now close to joining the scheme. It must now submit a training plan and if this is accepted, staff will receive up to £2,000 of funding each and a wage subsidy of £2,000.
Joyce said: "This is really good news. The ProAct scheme has already made progress in Wales and I am confident that it will make a difference to workers and managers at Thyssen Krupp."
Joyce raised the issue with the First Minister in the Assembly chamber (3 March 2009), who confirmed that Thyssen Krupp Tallent was among 35 companies in Wales completing their training plans for final approval for ProAct support.
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