Redundancy announcement comes just weeks after US special envoy highlighted plant’s vital role
May 18th: Unite today (Thursday) said that the decision by Seagate to seek over 100 voluntary redundancies at their Springtown site is ‘unnecessary and unjustified’, and urged workers to join the union in order to secure recognition and a collective voice going forward.
Seagate management this afternoon informed workers that it was seeking redundancies from a workforce of 1,600 as part of a retrenchment package which has also included wage cuts. The Springtown site is one of the world’s leading wafer fabrication manufacturers and makes the critical recording head component which goes into one in every four hard disk drives in the world.
Unite today described the company’s attempt to justify the job and wage cuts as ‘blatantly dishonest’, pointing out that the current drop in sales is from a post-pandemic surge and comes amidst an unprecedented logistical supply crisis. Seagate’s CEO has himself noted that the drop in sales reflects a ‘prolonged inventory correction’ by customers, and the company is expecting a bounce-back in sales in the fourth quarter of 2023.
Unite General Secretary Sharon Graham challenged the company’s attempt to justify its attack on jobs and wages, saying:
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