Uncertainty over Belfast Carillion jobs after company collapses

There is uncertainty over jobs at Carillion in Belfast after it was announced the construction firm would be going into liquidation.

Downtown/Cool FM
Author: Damien EdgarPublished 15th Jan 2018
Last updated 15th Jan 2018

Workers are set to meet with unions on Monday to discuss their future, with the company employing around 300 people locally.

There are reports staff have been sent home as well as being asked to turn in all company cars.

Carillion also has major multi-million pound contracts with the Housing Executive, which has said it is discussing the news.

It has a pension deficit of almost £600m and debts of over £900m.

It's claimed the construction giant asked the Government to provide funds of £20 million to help it secure more money from the banks and avoid going into administration.

Talks were held throughout the weekend between Government ministers and company officials in a bid to keep Carillion in business, but they broke up on Sunday evening without a deal.

Sources told the Press Association that Carillion wanted £20 million to help it secure more funds from banks, a far lower figure than had been previously speculated, but ministers were unwilling to offer financial support.

The Cabinet Office decline to comment.

Carillion's collapse into compulsory liquidation has put thousands of jobs at risk, but the Government said staff should go to work and would continue to get paid.

Meanwhile it emerged that small firms were still waiting for Carillion to pay bills going back several months.

Mike Cherry, chairman of the Federation of Small Businesses, said: It is vital that Carillion's small business suppliers are paid what they are owed, or some of those firms could themselves be put in jeopardy, putting even more jobs at risk besides those of Carillion's own employees.

When the dust settles on this sorry saga, there is also a wider lesson to learn about the concentration of public contracts in the hands of a small number of very big businesses.''

Carillion is understood to have public sector or public/private partnership contracts worth £1.7 billion, including providing school dinners, cleaning and catering at NHS hospitals, construction work on rail projects such as HS2 and maintaining 50,000 Army base homes for the Ministry of Defence.