These job losses come after Tata Steel this week announced more than 1,000 redundancies.
Sheffield Forgemasters, which employs 700, is restructuring to create “a more streamlined operation that can operate in a tough economic environment”.
The company blamed a slump in the oil and gas sector, the slowing of the global economy and an international collapse in steel prices has hit the business, as well as high energy costs, green taxes and a strong pound hitting exports.
The redundancies are set to be completed by the end of February.
Gareth Stace, director of UK Steel, said: “Sheffield Forgemasters is at the forefront of cutting edge design and engineering, and is a global leader in supplying critical components into the nuclear market around the world. These significant job losses for the company highlight that there isn’t an area of steel that is off limits to the mix of extreme pressures the sector is facing. Government continues to claim that manufacturing is the back bone of the UK economy and it must therefore act to ensure no further highly skilled jobs are lost.
“Furthermore, it is deeply concerning that the new nuclear site, planned at Hinkley Point will not be mandated to use British steel. Government cannot afford to let up on ensuring that all major procurement projects, from nuclear sites to tidal barrages and airports, all use British steel.”
He added: “The Government’s review of business rates could significantly reduce the multi million pound bill plants have to pay and this action must take place now, before further jobs are lost. Government is also wrong to say there is nothing that they can do about price of steel – a major cause of problem is Chinese dumping. A concerted effort by Government working in Brussels and Beijing can even now have a critical and positive impact.”
