Construction News

Fri October 23 2020

Related Information

Connaught redundancies climb to 1,400 after Norwich negotiations break down

15 Sep 10 Another 300 workers from Connaught Partnerships have been made redundant, bringing the total to 1,400 since the social housing contractor went into administration last week.

Another 300 workers from Connaught Partnerships have been made redundant, bringing the total to 1,400 since the social housing contractor went into administration last week.

Administrators KPMG were unable to find a buyer for a housing maintenance contract with Norwich City Council, and the 300 staff affected have been made redundant.

A second contract between Connaught Partnerships and Norwich City Council to supply environmental services, such as refuse and recycling, is still in negotiation, said KPMG. This is sub-contracted to Connaught Environmental, which is not in administration, so the 200 staff who work on the contract are not under threat of redundancy.

Yesterday, the administrators announced 400 redundancies from Connaught Parternships.

Mears, which took over eight of the firm's housing contracts, has not yet indicated whether it will take on the 600 Connaught staff affected.

It said that it had acquired the contracts for "a nominal sum" and that "discussions with these customers are still ongoing so the Mears Board is not yet in a position to provide clarity on the future revenues which may arise".

Meanwhile, another housing maintenance contractor has offered employment to former 24 Connaught Partnerships staff. Morrison Facilities Services has offered 18 tradesman and six support staff positions on its Lambeth Living contract.

A further five Connaught contracts, including the Norwich City Council deal, are still to be transferred to alternative providers.

Sign up to our FREE email newsletters or subscribe to our RSS feed for regular updates on the latest construction news, construction tenders, construction data, and construction law.

Got a story? Email news@theconstructionindex.co.uk

MPU

Click here to view more construction news »