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Sunday, December 22, 2024

Harland & Wolff Saved by Deal with Spain’s Navantia, Securing 1,000 Jobs

BusinessHarland & Wolff Saved by Deal with Spain's Navantia, Securing 1,000 Jobs

Belfast’s iconic Harland & Wolff shipyard, famed for building the Titanic, has been rescued by a deal with Spain’s state-owned shipbuilder, Navantia. The agreement, which includes Harland & Wolff’s facilities in Scotland and England, will save approximately 1,000 jobs, with around 600 of those based in Belfast.

Navantia, a Spanish government-owned company, entered exclusive negotiations to acquire Harland & Wolff in October after the shipyard went into administration. The deal ensures Harland & Wolff will continue its work on a contract to help deliver three fleet solid support ships (FSS) for the UK’s Royal Navy. Navantia is the lead contractor on the project, with Harland & Wolff serving as the UK subcontractor.

UK Business Secretary Jonathan Reynolds hailed the deal as a positive move for jobs and national security. “This is a good deal for Harland & Wolff, its employees, and the British shipbuilding industry,” he said in a statement. “It provides the best opportunity to sustain essential sovereign shipbuilding capacity and capability for future naval work, safeguarding both current and future jobs in the UK.”

Northern Ireland Secretary of State Hilary Benn also welcomed the agreement, expressing his delight that Harland & Wolff, with its long and proud history, now has a bright future ahead.

The deal has been seen as a lifeline for the shipyard, which is home to the iconic Samson and Goliath cranes in East Belfast, the constituency of DUP leader Gavin Robinson. While the DUP has staunchly supported Brexit, the company that stepped in to save the shipyard, Navantia, has received significant funding from the European Commission as part of the European Defence Fund. This fact was notably absent from Robinson’s statement, where he expressed relief that the deal would secure jobs at the yard and its other sites.

“I am delighted that this agreement has been reached which will secure the future of jobs in Belfast and its other sites,” Robinson said. He emphasized the importance of the Fleet Solid Support contract in reaching a solution and expressed hope for further growth in Northern Ireland’s defense sector.

Unions have also welcomed the deal. Unite’s regional secretary, Susan Fitzgerald, called it “a good day for workers,” highlighting the successful negotiations that secured jobs, pay, and conditions. The GMB union also expressed cautious optimism, noting that without a consistent flow of work, the yards could still face challenges in the future.

Reynolds noted that a small amendment had been made to the FSS contract to accommodate the deal, but insisted it would have minimal impact on the overall project. “This is a huge vote of confidence in the UK. It’s good for jobs, good for national security, and good for all parts of the UK,” he said.

With the deal now confirmed, workers at Harland & Wolff can look forward to greater job security as they head into the holiday season.

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