Britain’s new government is prioritising avoiding job losses in talks with Tata Steel over government backing for a transition to lower-carbon technologies, business minister Jonathan Reynolds said on Sunday.

Tata, Britain’s biggest steel producer, started closing one of its carbon-intensive blast furnaces on Thursday while the shutdown of its other one is slated for September, resulting in the loss of up to 2,800 jobs at Port Talbot in South Wales.

The new government will need to sign the £500 million support package the previous government agreed with Tata Steel to help build a lower-carbon electric arc furnace, but unions are hoping for an improved deal with Tata, which could prevent some job losses.

“We see this as a major priority,” Reynolds told the BBC. “I’m going to make sure that job guarantees are part of the negotiation that we’re having.”

Last week, a steelworkers’ union called off its strike at Port Talbot following hectic parleys with the Tatas.

Unite the Union cited Tata’s preparedness to ‘enter into new negotiations on future investment’ in South Wales, including Port Talbot as the reason to ‘pause’ the industrial strike.

The Tatas had clarified the talks would not involve its decision to close down heavy-end assets or a better separation package for employees who will lose jobs.

Unite had said they would begin their strike action from July 8, leading to Tata Steel UK challenging the balloting process.

Unite is one of three major trade unions in TSUK. Members of other two major trade unions, Community and GMB, also had voted in favour of strike but they did not go through it.

Tata had previously asked Unite to join Community and GMB unions in giving consideration to the company’s package for the workers.

Reuters