Unite asks for job assurance from Westinghouse and Shaw

The controversial US energy group, consisted of Westinghouse and Shaw, was recently appointed as the lead contractor to build new nuclear reactor plants worth more than £10 billion in the UK.

The group will fly to London in the coming month to meet ministers from Ed Miliband’s energy and Lord Mandelson’s business departments.

Both Westinghouse and Shaw had earlier promised to British companies that at least 80 per cent of the contracts to deliver reactor components will go to them. It is believed that about 10,000 new jobs are to be created throughout the nuclear building programme.

Union Unite national officer for energy, Dougie Rooney, urged that the ministers should hold Westinghouse and Shaw to their promise to create news jobs in the country. The building of the reactors will require government approval, thus enabling the ministers to monitor if the said promise is implemented, he added.

Known as one of the major contractors in Total’s controversial Lindsey oil refinery, Shaw had hired foreign labour and laid off several factory workers last year, which resulted into a series of minor strikes across the UK. Last month, Westinghouse had decided to choose Shaw to direct its new construction programme in the UK. Shaw was by then partnered by Laing O’Rourke, a British construction firm.

In related news, E.ON and RWE are still undecided whether to place reactor component orders with Westinghouse or its rival Areva. The companies are worried about the economics of constructing new reactors and on the recent changes in the planning process proposed by the Conservative party – which E.ON and RWE believe could delay the building of reactors if they will win the UK elections.