British Steel has taken on around 80 new employees at its Scunthorpe site.
It has given permanent contracts to the agency workers who had been performing a variety of roles across the company.
The majority of the employees work in the mills and heavy side of the business.
Paul Martin, British Steel's Human Resources Director, said: "We are delighted to announce that around 80 agency workers are now becoming permanent employees with British Steel at our site in Scunthorpe.
"These are vital roles within our business and the appointments will only serve to further strengthen the highly-skilled workforce we have.
"British Steel is renowned for the quality of the products we make and the top class services that we deliver to our customers. This is all down to the talent and skills of our employees and the pride they have in our business.
"This is an extremely exciting time for us and we welcome all the new employees to the British Steel family. I am sure they will continue to make a major contribution and ensure British Steel goes from strength to strength."
The announcement comes as part of British Steel's commitment to providing high quality training across the whole business, in this case for manufacturing team leaders and team members.
Management and trade unions have been in talks about proposals based on forward projections and potential future vacancies.
They would see new trainees brought in on a British Steel contract with an initial six-month training period based on a new blue collar manufacturing rate structure.
This would include three months of academic training followed by three months of site-based training. Subject to satisfactorily completing the six-month training period, the trainees would then be allocated to departments where there are vacancies that need filling.
Paul said: "Following this proposal, we have agreed that any agency worker currently identified as covering a core manufacturing team member role within standard manning in the business will be offered a British Steel contract.
"Going forward, where there is a need to recruit additional people to fill core manufacturing roles within standard manning, they will be brought in on the terms being outlined in the proposal instead of the former agency process.
"I would like to thank our union colleagues for their support throughout the process."
The news, which comes just a month after the launch of the new British Steel business under Greybull Capital ownership, has been welcomed by Scunthorpe Site Multi-Union Chairman Paul McBean.
He said: "A working group recognised that we had a number of agency workers covering core manufacturing team member roles so we are pleased that any agency worker covering a core manufacturing team member role has been offered a British Steel contract effective from July 1 2016.
"It follows constructive dialogue between ourselves and British Steel and I am sure our colleagues will welcome the new permanent employees to the business."
David Atkin: +44 1724 406898/+44 7919 292936
About British Steel
British Steel is our brand new company, created with a proud heritage and a passion to build stronger futures.
Our past has always been important to us but now we’re looking to the future, maintaining world leader status in steel production. Our steel has been, and continues to be, fundamental in creating iconic, awe-inspiring structures around the world. It helps people travel, work, eat and socialise every day. More importantly, it helps keep us safe.
As British Steel, we will be more agile and easy to do business with, which means we’ll need to be more responsive, adaptable, competitive and proactive in our markets and for our customers. We know we have passionate, hard-working, ambitious and dedicated employees and together we can create a future we are all proud to be part of.
We produce more than 2.8 million tonnes of steel every year. From this, we manufacture more than 1,450 different specifications of steel that gets rolled into wire rod, sections, special profiles and rail.
British Steel employs 4,800 people (4,400 in the UK, 400 in France). The business is made up of the following facilities:
Scunthorpe integrated steelworks