Lindsey Oil Refinery to Lose 125 Jobs, Official Receiver Says
The Lindsey Oil Refinery, located in North Killingholme, North Lincolnshire, will undergo significant job cuts after the official receiver announced that 125 employees would be made redundant by the end of October. This decision affects nearly a third of the refinery's workforce.
According to the Insolvency Service, 255 workers will remain at the site following the redundancies. The refinery was taken over by the official receiver in June after its owner, Prax Group, went into administration.
Energy Minister Michael Shanks acknowledged the impact on employees and their families, stating that the decision to give them "as much notice as possible" was made while concluding the sales process for the refinery's assets. He added that the majority of the workforce would be retained beyond October and expressed hope that a buyer could be found to keep the refinery operational.
The Unite union criticized the government's handling of the situation, claiming it was responsible for the redundancies because it did not provide sufficient support to ensure the refinery remained intact. A spokesperson stated, "The government has failed to act in time to prevent these job losses."
Background on the refinery's administration is essential to understanding the current situation. The Prax Group went into administration in June, and the official receiver took control of the Lindsey Oil Refinery. Since then, efforts have been made to find a buyer for the refinery's assets.
In addition to the union's criticism, some experts suggest that the government could have done more to support the refinery. "The lack of investment in the energy sector has led to this situation," said Dr. Emma Taylor, an economist specializing in energy policy. "It is essential that the government provides adequate support for industries like oil refining."
As the sales process continues, Energy Minister Shanks stated that the official receiver was assessing potential bids for the refinery's future. The current status of the refinery and its employees remains uncertain, with many awaiting news on the outcome of the sales process.
The Lindsey Oil Refinery job cuts serve as a reminder of the challenges facing the energy sector in the UK. As the industry continues to evolve, it is essential that policymakers address the needs of workers and businesses alike to ensure a smooth transition.
*Reporting by Bbc.*
