Don't sell our skills down the river.

Byline: By Daniel Cochlin

Business leaders, workers and politicians across the North were last night uniting to put the pressure on the Government to save the jobs of hundreds of threatened shipyard workers.

The call for action came after the Journal revealed that Swan Hunter boss Jaap Kroese is warning he will mothball his Tyneside yard with the loss of 1,500 jobs when work runs out in two years' time.

That warning was triggered when it emerged that a Government contract for a pounds 30m hospital ship - originally scheduled for 2006 will not now be built until 2008.

Politicians, unions and business representatives all claimed the Government was showing a lack of financial support and are concerned that vital skills could be lost to other countries.

Yesterday around 300 manufacturing

workers marched in protest through the streets of Newcastle, waving banners saying: "Don't sell our skills down the river."

And they were backed by Mr Kroese, who said: "This rally will show the Government how people feel and put pressure on them. We have the workforce and the apprentices here and we need work for them to do, otherwise they could walk away.

"The Government need to put the money forward so we can start the contract earlier. If this doesn't happen, contracts will go abroad. Something needs to be done to safeguard our future."

The hospital ship contract was seen an ideal way of plugging the gap between the present work at the yard - due to end in 2006 - and work on the Navy's two giant new aircraft carriers earmarked for 2008.

Longbenton Labour councillor Eddie Darke, who was a union representative at Swan Hunter, was among those calling yesterday for the hospital ship contract to be brought forward to 2006.

He said: "A week is a long time in politics so two years is an eternity. The Government must listen to what the unions are saying. We wouldn't have a shipyard industry if it wasn't for Labour when the Tories were trying to shut them down, so I am hopeful they will bring the orders forward."

Yesterday's rally had been organised to draw attention to the desperate plight of the North's manufacturing sector.

But the urgency of the issue has been heightened by the news about Swan Hunter, the announcement from Tyneside yard Amec that it only has six weeks' work left, putting a question mark over 500 jobs, as well as the loss of 350 jobs as South Shields circuit manufacturer plunged into receivership.

Amicus General Secretary Derek Simpson said: "This demonstration is all about putting manufacturing as high on the agenda as we can and highlighting our concerns about the industry. The Government need to re-think how manufacturing is handled in this country and what they can do about it. Swan Hunter's situation is part of the ongoing procurement problem we are facing."

Regional Secretary of the GMB union Tom Brennan said: "We are here to draw attention to the loss of jobs in manufacturing which has accelerated in 2004. We are losing 300 jobs every day in all sectors - including Circatex, Amec and now Swan Hunter - and we may lose more without these contracts.

"The manufacturing industry has made a huge contribution to the North-East. We need the Government's support. I feel they have let us down."

General secretary of TGWU Tony Woodley said: "We are losing 100,000 jobs a year and the Government can do an awful lot more to support British manufacturing and workers. They have to put more investment in. Swan Hunter puts the top hat on the bad news we have had month on month recently."

CBI North-East director Steve Rankin said: "I think the Government realised that its public procurement programme needs to be a little smarter. But I think it is too late and that is to be deplored.

"Although I would be delighted to see something happen, I would also be very surprised."

A MOD spokesman said: "The project is still in a very early stage and any talk of redundancies is speculation. The MOD is a strong supporter of the shipbuilding industry and provides a strong bedrock for them."