Over half of workers impacted by ExxonMobil plastics plant closure live locally

More than half of the workers affected by the closure of ExxonMobil’s Fife Ethylene Plant live in the local area.

ExxonMobil announced last month their plans to shut its operations at its Mossmorran base from February, putting 400 jobs at risk.

The Fife Ethylene Plant (FEP) is one of Europe’s largest and most modern ethylene plants.

ExxonMobil said the plant will shut in months, having operated for 40 years.

Fife councillors were given an update on the situation at a meeting on Thursday.

David Ross said work is ongoing to provide support for those affected and identify possible alternative uses for the site.

“We have been told by the company that over 57% of the direct work force and between 45 and 50% of the contractors actually live locally within the KY postcode areas,” he said.

“It is a significant impact on residents directly in Fife.

Scotland

ExxonMobil to close Mossmorran plastics plant with 400 jobs at risk

The facility which produces key raw materials from ethane employs 180 staff, 200 contractors and dozens of others at the site in Fife.

“This was a significant shock to us locally here, and I thank the officers of the council who have taken action in regard to this.

“Immediately, I wrote to both governments asking for a joint task force to be set up to address the situation. I also spoke to the company.”

There are around 180 ExxonMobil staff, 200 contractors, and around 50 other workers at Mossmorran who could be affected.

Cllr Ross said several meetings had already taken place in which ExxonMobil rejected a request to “pause” the closure.

“The company was also asked about some of the reasons for the closure. They said it was a range of factors leading to the decision, partly because they claim the plant has been making an operating loss for the last four or five years,” he said.

“The price for selling ethylene has dipped dramatically. The plant is ageing and would need significant investment, and a number of other factors.

Politics

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“So it was put to them, could they pause that or reconsider, and they said no. The contract is coming to an end for the ethylene at the end of February. On the back of that, I agreed in collaboration with both governments that we would lead on a task force.”

Councillors also agreed a motion put forward by SNP councillor David Barratt to record “deep regret” at ExxonMobil’s short-notice decision to close the plant, which he said had been “a cornerstone of chemical production” for four decades.

The motion continued: “Note the reasons cited by ExxonMobil and agrees the council’s priority must focus on the future, supporting affected employees, supply-chains and the wider local economy.

“Welcomes the engagement of both Scottish and UK Governments in discussions to date and calls for constructive dialogue to continue to explore all possible opportunities for the existing site and wider surrounding area.”

Seconding the motion, Cowdenbeath councillor Bailey-Lee Robb said: “The motion is for the chamber to speak with one voice to show workers we stand with them and send a clear message we will do all we can to help.”

Councillor David Ross added: “I look forward to working as one council with governments and stakeholders to the best we can to get something very positive out of a difficult situation.”

The UK Government said it had explored “every reasonable avenue” to support the plant, but the closure was a “commercial decision for the company to take”.