Two days of crucial negotiations between the Belfast shipyard Harland & Wolff and its US customer Global Marine begin today in London as efforts to rescue the company from the threat of closure intensify.
Almost 2,000 workers staged a protest march yesterday from the yard to Belfast's Hilton hotel where local politicians were meeting representatives from the US firm which, the shipyard management has claimed, owes more than £100 million sterling for additional work on two drilling ships worth £200 million sterling each.
The management of the yard must also address the reality of a blank order book when the contract with Global Marine expires next spring. Mr Fred Olsen, of Harland & Wolff's Scandinavian-based parent company, Fred Olsen Energy, will meet representatives from Global Marine and management from the Belfast yard today in London.
Union representatives for the workers will be standing by to take part in the negotiations.
Speaking after the hotel meeting with Global Marine, the union spokesman, Mr Jackie Nicholl, said he was still concerned for the future of the yard and reasonable discussion between the two parties was necessary to safeguard the workers' jobs.
"It would be very important that we didn't say anything that disrupted those talks by taking sides. I don't think we are in a position to take sides because we don't know the full truth," he said.
A spokesman for Harland and Wolff said two outstanding issues needed to be resolved. Firstly, the outstanding claim for compensation for the additional work which the yard funded itself, and secondly, the need to create the financial conditions for the yard to compete for new orders.
He added that the claim for compensation would undoubtedly go to arbitration, which would take more than a year to resolve and could sound the death knell for the yard.
It is understood Harland & Wolff has tabled proposals involving an amalgamated package of immediate funding for the yard from Olsen Energy, Global Marine and the British government.
"I hope and believe that we will be able to pull together a satisfactory solution over the next few days," added the spokesman.
According to Mr Peter Robinson, DUP Assembly member for east Belfast, Global Marine assured local politicians that they were prepared to fund the completion of the two vessels. Global Marine had demanded assurances from the yard that, if arbitration ruled in their favour, there would be "a claw back" for them, which Harland & Wolff has refused to agree to.
"Harland & Wolff say that Global Marine has undoubtedly got a significantly better ship than when they asked for the contract to start. Global Marine are denying any change at all, not the slightest change in the ship. I think each of you can identify where the truth lies in that matter.
"It is very clear that it is a substantially different boat that has been built," he added.
At yesterday's meeting with politicians, Mr John Marshall, Global Marine's chief operational officer, said his company would guarantee payment for a 40-hour week to the workers at the yard.
However, the spokesman for Harland & Wolff said the yard had already given assurances to workers that they would be paid this week and it was not the position of Global Marine to give assurances to its workers. Sir Reg Empey, of the Ulster Unionist Party, said the difference between the sides was "nothing and £130 million - two extreme positions". But he stressed that some agreement had been reached over the actual cost for completion of the vessels.
"There is a small element of government money available and we will do our best to see it delivered. But it does require Harland and their principle shareholder to be very much involved in the final deal," he added. The PUP Assembly member, Mr David Ervine, warned the workers that any deal would only fall into place "at the very last minute", while Mr Gary McMichael, of the Ulster Democratic Party, acknowledged the workers were "on eggs shells" but urged them to stay calm as the negotiations intensified.
