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Carillion: jobs toll passes 2,200 with latest redundancies

By Simon Penfold | Business | Published:

The jobs toll from the collapse of Carillion has now soared past 2,200 with another set of redundancies announced by the Official Receiver.

Another 60 jobs have been lost from Carillion

This week another 133 jobs have been saved with work transferred to new contractors, but 59 people are being let go.

The Wolverhampton-based group collapsed into compulsory liquidation in mid-January, causing chaos across hundreds of its construction and services contracts nationwide

Work has been suspended at the £350 million Midland Metropolitan Hospital since Carillion's collapse, and it caused weeks of delays to the £700m Paradise redevelopment in Birmingham city centre.

But scores of contracts in the private and public sector have now been snapped up by new companies, preserving the jobs of more than 11,000 former Carillion workers.

A spokesperson for the Official Receiver said today: "A further 133 jobs have been saved with employees transferring to new suppliers who have picked up contracts that Carillion had been delivering. This takes the number of employees who have been found secure ongoing employment to more than 11,000.

"Regretably 59 employees whose positions are no longer required as Carillion’s business transfers to new suppliers will leave the business.

"I continue to liaise with potential purchasers for Carillion’s remaining contracts and remain committed to keeping staff, elected employee representatives and unions informed as these arrangements are confirmed."

In total 11,093 jobs have been saved so far, and 2,221 have been lost. More than 3,700 people remain in limbo, currently retained by the Insolvency Service and its special managers, accountants PwC, 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.

The include around 180 people still working on HR and contract paperwork at the former Carillion headquarters in Salop Street, in Wolverhampton city centre. They are what remains from a 460-strong office workforce when the company collapsed, weighed down by billions in debt and crippled by a string of problem construction contracts, including the Midland Met.

While those working on contracts such as hospital cleaning or maintenance of military housing have been kept on, there is little chance of a rescue for the headquarters staff, although some will remain working on the liquidation until it is completed later this year.

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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