Carillion: 300 more workers set to lose their jobs this week

By Simon Penfold | Business | Published:

Hundreds of former Carillion rail workers are believed to be among the latest to lose their jobs in the wake of the company's collapse.

The Government's Insolvency Service has revealed another 337 people are set to be made redundant this week as the liquidation of the Wolverhampton-based construction and services giant continues into a fourth month.

Nearly all are understood to have worked on railway projects across the UK, from electrification to line maintenance and improvement work.

But more than 800 other workers have been transferred to new companies taking over Carillion's hundreds of public and private sector contracts.

A spokesperson for the Official Receiver said: "A further 835 jobs have been saved with employees transferring to new suppliers who have picked up contracts that Carillion had been delivering. Close to 11,000 employees have now been found secure ongoing employment.

"Regretably 337 employees whose positions are no longer required as Carillion’s business transfers to new suppliers will leave the business later this week. Jobcentre Plus’ Rapid Response Service will provide them with every support to find new work.

"I continue to talk with potential purchasers for Carillion’s remaining contracts and will keep staff, elected employee representatives and unions to keep them informed as these arrangements are confirmed."

Since Carillion collapsed in mid-January, 10,960 jobs have been saved and 2,162 jobs have been made redundant through the liquidation.

Just under 4,000 employees are currently being kept on to enable Carillion to deliver the remaining services it is providing for public and private sector customers until decisions are taken to transfer or cease these contracts.

That includes just under 180 at the company's former headquarters, in Salop Street in Wolverhampton city centre. Nearly 300 people working at the offices have lost their jobs so far. The remainder are working on contract and HR details for accountants PwC, the special managers brought in by the Insolvency Service to aid in the complex liquidation of Carillion.

The £5 billion turnover company, created in 1999 when Tarmac's construction arm split off to become and independent business, crashed three months ago with just £29m in the bank. Its directors and executives have come in for heavy criticism in the course of an inquiry by two committees of MPs, while a series of investigations into the collapse are under way.

Simon Penfold

By Simon Penfold
Business Editor - @SPenfold_star

Business Editor based at the Express & Star's head office in Wolverhampton, looking for stories big & small.


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