Published: 21/10/2008 00:00 - Updated: 19/02/2009 09:56

Jobs gloom gets worse

by ADRIAN JENKINS

ENGINEERING giant Roger Bullivant has dealt a hammer blow to Burton and South Derbyshire's economy by announcing plans to axe more than a tenth of its workforce.

The Drakelow-based firm has told staff that 75 of them will be made redundant because of the economic downturn, saying it had 'no alternative' but to shed the jobs.

Up to 40 drivers have also been informed that their take-home weekly pay will be slashed by a quarter from £400 to £300 on a one-month trial basis, from November 1, according to a company insider.

The employee said the measures had caused anxiety and fury among staff, who are due to be told where the cuts will fall tomorrow, following 48 hours of further consultations.

He said: "It's coming up to Christmas and everyone's panicking, even managers, who last time redundancies were made were sure they would not be affected; your job is not safe unless you are a director.

"A lot of the staff feel that if Bullivant's was going to do this it should have done it in the first wave. It's just poor planning again that has caused this extra heartache for the staff."

Referring to the rise in the company's pre-tax profit from £2.3 million to £3.4 million in the 12 months to October 2007, the source said: "The company as a whole is making a healthy profit but there are certain areas that are not.

"Most companies would prop up the weaker areas with those making a profit, but Bullivant's has decided to axe people.

"We feel cheated. On the one hand it is saying 'times are hard so we are having to make pay cuts and lose jobs', but the company as a whole is getting richer and so are the directors."

Drivers had been prepared to accept the pay cut on condition Bullivant's safeguarded their jobs, he said, but the staff had withdrawn their offer when the company said they would have to accept job losses too.

"Everyone's angry," the insider said, adding that he had been told that several drivers had already signed up with employment agencies in the hope of finding other work.

Bullivant's director John Patch said: "The continuing global downturn has had a major impact on our business, which is why we were forced to commence a period of consultation with staff across our UK-wide network.

"It saddens me to report that early indications suggest that we have no alternative than to potentially make up to 75 positions redundant.

"We will offer all employees the option of voluntary redundancy in an effort to make as few compulsory job losses as possible and will work with staff and their representatives to endeavour to find new employment and training options for them.

"This is one of the most challenging periods of our 38-year history and the decision to lose valued members of staff is never taken lightly.

"We will always take whatever steps possible to minimise the level of any necessary restructuring."

The company announced a first tranche of redundancies earlier this year after the credit crunch-inspired economic squeeze began to filter through to the construction industry.

House building, traditionally one of the first economic sectors to suffer in a downturn, has, according to the firm's bosses, forced the cancellation or postponement of many of its jobs.