Carillion collapse: government announces 377 job losses

The demise of the former industry giant Carillion will sadly result in 377 staff being made redundant, the Insolvency Service has said today.

The official receiver, the part of the Insolvency Service charged with handling Carillion’s liquidation, has announced that the jobs of 919 former employees have been safeguarded by being transferred onto to other governmental contracts but despite its best efforts, 377 staff members will be made redundant. Those who have lost their jobs will be entitled to make a claim for statutory redundancy payments.

A spokesperson for the Official Receiver said: “As part of the ongoing liquidation of the Carillion group I am pleased we have been able to safeguard the jobs of 919 employees today. Most staff are transferring on existing or similar terms and I will continue to facilitate this wherever possible as we work to find new providers for Carillion’s other contracts. Despite best efforts it has not been possible to secure the jobs of 377 staff, who will be made redundant. Those affected will be entitled to make a claim for statutory redundancy payments. The Jobcentre Plus’ Rapid Response Service stands ready to support any of these employees by providing advice and information so people can move into a new job as quickly as possible.”

Today’s announcement comes as the receiver continues to make arrangements for thousands of Carillion’s 19,500-strong UK workforce. Some have been provided lifelines by other companies with firms like Kier and Eiffage announcing more than 200 employees would be offered opportunities to work on HS2 and Highways England smart motorways schemes. But thousands more still await to hear their fate as big projects like Carillion’s Royal Liverpool hospital still not resuming. 

The receiver says there is an expectation that more employees on Carillion contracts should be transferred in the coming weeks. “I recognise that this will be a worrying time for all those affected, their families and local communities,” the spokesperson added. “I would like to thank all staff for their professionalism throughout the liquidation. I am expecting many employees working on other Carillion contracts to transfer in the coming weeks and we are continuing to keep the workforce updated as these are arrangements are finalised.”