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Workers at Drax Power Station are to vote on strike action in a dispute over redundancy terms for 230 employees.
The roles are set to go as a result of Drax’s decision to close its two remaining coal-fired units at the north Yorkshire site.
Unite is to hold a ballot for strike action after its members rejected the management’s latest offer to those workers by 84 per cent.
The union has accused Drax of “backtracking” on an agreement that there would be no compulsory redundancies but the company denies any such promise was given.
Unite regional officer Shane Sweeting said an offer that its members would take a pay and bonus freeze to improve redundancy terms and maintain jobs had been rejected by the company.
He said: “This must be seen against a background of a soaring share price based on the future development at Drax and huge profits of £415 million generated in the last financial year by the Selby site alone.
“However, if the company adopted a scheme of natural wastage as workers left or retired, this would cost just £25 million a year for a limited period until the workforce is reduced.
“What we have here is a classic case of bad faith by the management as this highly profitable company pledged there would no compulsory redundancies when the pay deal was agreed in 2019.
“They backtracked on this promise, despite the Selby staff working flat-out during the pandemic and being classed as key workers. So we are now preparing for the strike ballot which will be held in July.”
A Drax spokesperson said: “No pledge was made last year about compulsory redundancies. A joint statement agreed with Unite in February when we announced we would be stopping using coal in March 2021 bears testament to this.
“We continue to work closely with the trade unions to agree the enhanced redundancy terms linked to the 206 roles which will be made redundant when Drax stops using coal next year. The majority of GMB and Prospect union members who voted in a consultative ballot accepted the enhanced redundancy terms. Regrettably, a majority of Unite members who voted confirmed their support for industrial action in the consultative ballot.”
Drax announced in March that it would cease generation from its last two coal units next year, although they will remain available until September 2022 in line with its existing Capacity Market agreements.
The announcement follows its failure to secure contracts for either unit in the recent T-3 capacity auction.
It estimated at that point that between 200 and 230 roles were likely to go as a result of the decision.
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