Dismay as Speciality Steel workers back on furlough and production pushed back to 2027
“It’s coming up to Christmas and furlough wages don't buy the same amount of Christmas presents and it means less money in the local economy”
Disappointed South Yorkshire steelworkers are back on furlough after bosses said there would be no production until next year.
Scores of staff in what is known as Aldwarke Cast Products at Speciality Steel in Rotherham returned to work in September to prepare equipment ahead of production resuming.
But this week some went back on furlough when it became clear production would not restart until next year, Chris Williamson, Community Union Aldwarke 01 branch secretary, said.
They are waiting on parts for the two electric arc furnaces and the business needs money to buy materials, he added.
He said: “There will be no production until next year. I’m hopeful for January but it could be the back end of February.
“We’ve got orders but we are in limbo about the future. Government put a bid in, what is the Official Receiver’s response?”
The business has been under the control of the Official Receiver - part of the government’s Insolvency Service - since it was put into liquidation in summer 2025.
In September this year the government announced plans to take it over to protect jobs and buy time to ‘assess the best long-term future for these sites’.
Speciality Steel UK supports more than 1,300 jobs in Rotherham, Brinsworth, Stocksbridge and Wednesbury.
An Insolvency Service spokesperson said: “Production continues across SSUK, with changes to employee attendance to meet demand and operational activity with existing furlough arrangements remaining in place.
“The Official Receiver continues to progress the sale of the business and assets of SSUK.”
A Speciality Steel insider said: “Obviously workers are not very pleased. It’s coming up to Christmas and furlough wages don't buy the same amount of Christmas presents and it means less money in the local economy.
“They were getting back to doing what they were trained to do - they are steelworkers who like sweating and getting mucky. Now they are sat at home twiddling their thumbs.
“Men are handing in their notice and leaving, the fear is, will they have the numbers and more importantly the skills to commence production?”