Jobs at risk in Sabic 'Cracker' plant closure

Hundreds of jobs are under threat in a chemical plant closure.

Sabic is shutting its Olefins 6 base at Wilton, near Redcar.

Reports suggest as many as 330 jobs could be at risk, with the Unite union branding the plans a “disgrace”.

Saudi-owned Sabic says the closure of the factory – which has been offline since the end of 2020 – follows a “thorough analysis aimed at optimising competitiveness”.

It is understood staff consultations will begin on July 1.

Built by ICI in 1979 and known locally as a ‘Cracker’ plant, the site has, over the years, made products for use in goods such as plastic bottles, CDs and tyres by taking feedstocks and cracking components apart.

However, bosses say the base, which was due to be converted to run entirely on gas feedstocks, will now close.

A Sabic statement seen by Bdaily said: “The company regrets this decision.

“It is the result of a thorough analysis aimed at optimising competitiveness and aligning with long-term strategic priorities to ensure the company remains agile and resilient in an evolving global landscape.

“Sabic is committed to carrying out a meaningful collective consultation with employee representatives. 

“The exact number of job losses will be determined once this consultation has been completed.”

The firm added a neighbouring low-density polyethylene plant, which had been fed by the 'Cracker', will remain open using alternative feedstocks.

Responding to the announcement, union Unite said around 100 of its members now face redundancy.

Fazia Hussain-Brown, regional officer, added: “The potential loss of so many jobs in the area is a devastating blow to our members and their families, as well as the local economy.

“We will be actively engaging with Sabic throughout this consultation process, using all of the resources available to support our members.

“The Teesside community was promised more jobs, but this never happened.

“This means our members at Sabic have few options for where they can find alternative employment, and there is a lot of anger.”

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