Winding-up of Jarvis puts 1,100 out of work
Thursday 01 April 2010
Most of the railway contractor Jarvis is to be wound up, putting 1,100 people out of work, the administrator Deloitte confirmed yesterday.
Jarvis's accommodation services subsidiary is the only one of its four divisions that is expected to survive. The business is still trading and Deloitte has received a number of expressions of interest from potential buyers. It said: "The administrators are working closely with all stakeholders to continue a normal level of service while they seek a buyer for the business as a going concern."
But Jarvis Rail, the Fastline plant equipment business and the Jarvis plc administrative function will all be closed. "After reviewing the business, and conducting negotiations with key stakeholders, the administrators have concluded that it is not possible to continue to trade the businesses in the absence of further funding," Deloitte said. "It has regrettably, therefore, been necessary to make some 1,100 redundancies across the three companies."
The redundancies affect the company's head office in York and of other sites including Doncaster, Glasgow, Leeds, Newcastle and Peterborough. A skeleton staff remains to assist with the winding up of the companies.
Jarvis, which was once Britain's biggest construction group, collapsed into administration at the end of last week after its lenders refused to stump up more capital to keep it in business. The company was hit hard by cutbacks by its main client, Network Rail, which saw 28 per cent of last year's track renewals programme deferred.
Jarvis had tried to broaden its customer base and signed a £55m contract with Chiltern Railways in January. But it was forecasting an operating loss of £5m for the financial year and without a cash injection it was forced to cease trading.
- 1 Christians: The world's most persecuted people
- 2 Israel-Gaza conflict: The secret report that helps Israelis to hide facts
- 3 Thatcher ‘was warned of Tory child sex party claims’
- 4 Lauren Goodger sex tape: Reality star calls for tougher laws on revenge porn after intimate video leaks online
- 5 The Simpsons Family Guy trailer: First look at crossover episode after Comic-Con debut
A new Russian revolution: The cracks are starting to appear in Putin’s Kremlin power bloc
Thatcher ‘was warned of Tory child sex party claims’
Israel-Gaza conflict: President Obama presses Netanyahu to call ‘immediate and unconditional’ Gaza ceasefire
Lauren Goodger sex tape: Reality star calls for tougher laws on revenge porn after intimate video leaks online
Iraq crisis: End 'very near' for Christianity after Isis takeover, says Bishop
Israel-Gaza conflict: The secret report that helps Israelis to hide facts
A day in the life of Vladimir Putin: The dictator in his labyrinth
Opponents of Israel's military operation in Gaza are the real enemies of Middle Eastern peace
Were 'Poor Doors' added to mixed developments so wealthy residents don't have to go in alongside social housing tenants?
Arizona execution lasts two hours as killer Joseph Wood left 'snorting and gasping' for air
Malaysia Airlines MH17 crash: Massive rise in sale of British arms to Russia
iJobs Money & Business
£28000 - £32000 per annum: Ashdown Group: Training/Learning and Development Co...
£28000 - £32000 per annum + benefits: Ashdown Group: Training Programme Manage...
£30000 - £45000 per annum: Harrington Starr: A Global Financial Service Organi...
£30000 - £40000 per annum + Bonus+Benefits+Package: Harrington Starr: C# Web d...