Grangemouth Refinery Workers 'Reject Deal'

Two-thirds of workers at the Grangemouth oil refinery have refused to accept new terms and conditions, their union says.

Ineos had set a deadline of 6pm on Monday for the workforce to agree to its "survival plan", which amounts to a cut in pension entitlement, overtime pay and redundancy terms.

Without agreement and without fresh investment, management has said it could close the plant by 2017.

Ineos said the Scotland's biggest oil refinery, which has been shut down since last week because of the dispute, is losing £10m a month. 

Ineos Grangemouth site manager Gordon Grant talks with Unite's Pat Rafferty

Ineos group director Tom Crotty told Sky News that the risk of the refinery having to shut permanently was very real and that the workers needed to show commitment to persuade shareholders to increase investment.

He said: "The shareholders will consider the over all view of the workforce and we have to consider have we got enough people supporting the company to make it a viable proposition to restart the plant because we have serious safety concerns over this type of operation.

"It's a big site, three time the City of London, and to restart it we cannot take the risk of having to restart it and then stop it again. It's very risky.

"Until we know we have got the support of the people on the site we cannot do that."

Ineos sent out a letter on Thursday to all 1,350 worker at the plant asking them to either reject or accept the plan, and said that hundreds had agreed to the new deal.

However, according to Unite, 65% of workers had rejected the plan.

Ineos says if workers do not agree, the refinery will close

Unite's Scottish Secretary Pat Rafferty said: "The people who have so far rejected Ineos' ultimatum are the backbone of the plant, the people who keep the site running and the oil flowing.

"The people of Grangemouth and Scotland will be expecting Jim Ratcliffe and the Ineos shareholders to now take heed. Do the right thing tomorrow, drop the threats to the workforce, fire up the plant and get around the table at Acas.

"This is an overwhelming rejection of the company's blackmail and threats. This workforce has said that they want to secure a future for Grangemouth, free from fear, based on negotiation not confrontation."

A shareholders meeting is expected to take place on Tuesday to discuss the dispute.

The plant processes around 200,000 barrels of oil a day and supplies most of Scotland's fuel, however, Ed Davey, the energy secretary has said that the shutdown would not hit petrol and diesel supplies.

Ineos and Unite have been embroiled in a bitter dispute for weeks, initially over the treatment of Unite convenor Stephen Deans, who was involved in the row over a selection of a Labour candidate in Falkirk, where he is chairman of the constituency party.

He was suspended, then reinstated, and is facing an internal investigation, which is due to report on Friday.

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