It is reported that around 1,000 staff and managers on the Scunthorpe steelworks will see their overtime payments slashed as Corus steps up its 'Weathering the Storm' cost saving campaign.

The overtime paid monthly comes in the form of additional annualized hours which have come under review during the ongoing recession.

The review identified that employees in Scunthorpe would not need to work as many extra hours until April 2010. The changes have been made following a 50% slump in orders on the site, creating the worst downturn in at least 50 years.

Mr Sean Lyons works site director said that the review was another response to the situation the employees found themselves in. He added that "The situation is still very severe. We all need to think twice before we spend anything like we do at home."

Mr Martin Driscoll HR director said that "We are all experiencing extremely tough market conditions and we need to continue looking at reducing costs in line with current and anticipated demand. The situation is serious. We want to retain existing employment levels but we can only do this if we can find ways of reducing employment costs."

Corus steelworkers in Ijmuiden staged a day of action in protest over the company’s plan to axe 800 jobs on the site. More than 1,500 employees attended a series of meetings when the three unions renewed their demands for details of the job cuts.

Mr Mick Fell chairman of Scunthorpe Works Multi Union Committee said that there were no plans for a similar day of action in the town.

Weathering the Storm is the company's plan to get through the economic crisis while protecting the welfare of its workers. The strategy was launched last November after a series of briefings with staff. As part of the plan, steel boss Mr Sean Lyons pledged to take a pay cut of 5% more than any taken by other employees.

(Sourced from www.humberbusiness.com)