UP to 30 jobs in the finance department of Essar Oil’s operation at Stanlow in Ellesmere Port are under threat, it is understood.
A source close to the company contacted our sister title The Chester Standard to say staff had been made aware of the planned job cuts.
Our contact said it was the employees’ understanding that their roles would be outsourced to India.
In response, the company has confirmed that it intends to review its business processes in the next six to nine months.
A spokesman for Essar would not give a figure for any planned redundancies but said it had “identified the potential to outsource some business service functions”.
He stressed that redeployment will be considered in the event of redundancies or “TUPE transfers”.
TUPE - Transfer of Undertakings (Protection of Employment) Regulations – applies where a business of part of a business is sold. Under this legislation, the employment of the employees working in that business transfer automatically to the new owner.
The spokesman also said the company was committed to the future of the Stanlow.
“Stanlow will not be affected by the decision to outsource these service functions,” he said.
“It will remain a key national strategic asset and continue to produce 16 per cent of the UK’s road transport fuel requirements and other high quality products.
“Essar remains committed to Stanlow and has invested $1 billion over the past eight years to ensure a sustainable and successful future for its UK business. Essar is currently looking at further investment opportunities to make the business even more robust.
“We are committed to nurturing the talent at Stanlow and being a leading local employer here for the long term. To do that, we need to further optimise our organisational structure, streamline our processes and make full use of available technology.”
The company’s full statement is here:
“In a rapidly changing world, Essar has considered carefully the opportunities available to modernise the way in which we operate across all areas of the business. Our competitors are not standing still and we cannot afford to do so either.
“In addition, there is the challenge posed by the global move to a renewables based future. One in which Essar is determined to ensure it will be a long-term and sustainable player in the transition to a low carbon economy.
“The entire European refining industry faces serious challenges and difficult choices have to be made. As such, we have identified the potential to outsource some business service functions. Our customer expectations are changing and they are becoming more open to the use of new technologies. We must be able to adapt, simplify our interactions with them and deliver the highest quality service possible.
“Over the next six to nine months, we will map existing business processes in order to establish measureable outcomes and offer a discretionary Retention Payment Scheme to those involved in the successful conclusion of the programme. In the event of potential TUPE transfers or redundancies, where possible, redeployment will be explored in the first instance.
“Stanlow will not be affected by the decision to outsource these service functions. It will remain a key national strategic asset and continue to produce 16 per cent of the UK’s road transport fuel requirements and other high quality products.
“Essar remains committed to Stanlow and has invested $1 billion over the past eight years to ensure a sustainable and successful future for its UK business. Essar is currently looking at further investment opportunities to make the business even more robust. We are committed to nurturing the talent at Stanlow and being a leading local employer here for the long term. To do that, we need to further optimise our organisational structure, streamline our processes and make full use of available technology.”
Comments: Our rules
We want our comments to be a lively and valuable part of our community - a place where readers can debate and engage with the most important local issues. The ability to comment on our stories is a privilege, not a right, however, and that privilege may be withdrawn if it is abused or misused.
Please report any comments that break our rules.
Read the rules here