Sanjeev Gupta’s Whyalla steelworkers to cop 30pc pay cut as furnace damage worsens

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Sanjeev Gupta’s Whyalla steelworkers to cop 30pc pay cut as furnace damage worsens
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GFG Alliance said the shell of the blast furnace has been damaged in restart attempts, lengthening delays in getting the steelworks back online. No steel has been made for eight weeks.

Already a subscriber?A major problem with the blast furnace at Sanjeev Gupta’s crippled Whyalla steelworks is worse than expected, pushing out the resumption of production for weeks.

GFG Alliance, Mr Gupta’s company, confirmed on Wednesday that the restart plans would have to be pushed out after damage to the blast furnace shell was found. “While GFG is working hard to bring the blast furnace back up to its usual operation as quickly as possible, this event may delay the anticipated restart date.”

An inability to produce steel from Whyalla in South Australia comes at an awkward time for Mr Gupta, who is still battling to keep his global steel and manufacturing business intact after the collapse of his main funder,Other parts of GFG, including Australian steel distribution business InfraBuild, are payingAustralian Manufacturing Workers Union state secretary Peter Bauer said wages of workers at the plant had been reduced by about 30 per cent, and that management had been warned weeks ago...

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