Issue 22 | Page 11

NEWS Industry champion – Paul Booth spoke exclusively to Tees Business as part of a series of new online interviews. Teesside can drive environmental solutions, says industry champion Teesside’s chemical industry can be part of the solution when it comes to driving the green economy forwards, says former Tees Valley Local Enterprise Partnership (LEP) and SABIC chairman Paul Booth OBE. Paul says the industry has a lot to offer – but it will only be achieved if the likes of industry, academia and government all pull together to make it work. In a post-Brexit and Covid-restricted world, the challenges are laid bare on the table – that much is evident. There’s also a building green agenda and a sustainability movement driving consumer spending and commercial considerations. Teesside has the ingredients to satisfy all the requirements, believes Paul, who spoke to Tees Business for our Talking Business feature, sponsored by commercial IT specialists Cornerstone Business Solutions. “Putting Covid to one side, I think the industry has been, for a number of years, moving towards the green agenda, the sustainable agenda,” he said. “The idea that we can move into biochemicals, bio-feedstocks, offshore wind, develop the hydrogen economy, CO2 clean gas. There are lots and lots of ways in which you can combine chemicals in a greener and more sustainable way. “It is about moving from where we are. The long-term growth plans at hydraulic engineering company Industrial and Marine Hydraulics (IMH) have taken a major step forward following the successful first phase implementation of its new ERP system. Its new Priority ERP system, which went live earlier this year, is already bringing basic efficiencies and savings across many business functions and processes. IMH, based in Middlesbrough, delivers major hydraulic engineering projects around the world. Its capabilities include design and build, manufacturing, installation, commissioning, servicing, maintenance and repairs, as well as component supplies and training. In the company’s 37-year history it has “These investments typically take seven, eight, nine years from when they start and these things don’t happen overnight, but I see generally the industry has been moving in that direction and continues to move in that direction. “Industry is not particularly fazed by climate change or by the green agenda because, actually, sustainability and the green agenda and profitability and giving us all the products we need is one and the same thing.” Paul spent his 50-year career in the chemical industry, starting out as an apprentice at ICI to become chairman of SABIC as well as an ambassador for the industry. He also chaired the Tees Valley LEP, spearheading engagement with business leaders across the region. The use of plastics has been interesting during the Covid pandemic and highlights that we actually do need them in our lives, he says – safety screens, PPE, food wrapping materials and the like are keeping people safe. “We can’t do without them, but what we have to do is make them in a different way, from bio sources, and dispose of them more economically,” he reflected. “We can chemically recycle and mechanically recycle polymers.” IMH STREAMLINES OPERATIONS WITH MAJOR OVERHAUL IMH non-executive director Paul Griffiths and managing director James Griffiths utilised several management systems, but as part of its recent growth strategy it recognised that it would need to streamline its processes using technology to drive business performance. Working with the support of Teesside University (funded by the Innovate Tees Valley’s Knowledge Exchange Programme), the team spent time developing a robust system scope that identified the many performance and functional requirements needed to drive the business forward. Key changes to the furlough scheme We are now in the second stage of the government’s furlough scheme. Firstly, the rules now provide an opportunity for employees to return to work on a part-time basis whilst allowing the employer to claim for the cost of the employee’s wages for the non-working time the employee remains furloughed. This is a change from the previous scheme under which employees were not allowed to work at all. It is intended to provide the necessary flexibility for employers wishing to open their doors without the requirement to bring all employees back at once, something which will not be feasible for many businesses. The second key point is that, from August 1, the amount an employer is able to claim via furlough is progressively reduced: > From August 1, the employer will not be able to claim via furlough the cost of employer National Insurance and pension contributions. > From September 1, the employer claim will reduce to 70% with employer contributing 10% of the furloughed employee’s wages. > This employer contribution will increase from 10% to 20% and, therefore, the claim amount will reduce to 60% from October 1 through to closure of the scheme on October 31. > The employee will still receive 80% of salary through to October 31 and it is therefore a reduction in the relief available to the employer. Whilst these are the headline points, there is a significant amount of supporting detail and we would advise taking proper HR/employment advice as soon as possible. Andrew Rowe, Partner, Baldwins The voice of business in the Tees region | 11