Unite shocked as 1,160 jobs go at Jarvis Rail
1st April 2010
Unite the union said it was shocked by today's announcement that
Jarvis Rail would not be saved, with the loss of over 1,100 skilled
jobs.
In a statement issued today (Thursday), the administrator
Deloitte said: "After reviewing the business, and conducting
negotiations with key stakeholders, the administrators have
concluded that it is not possible to continue to trade the business
in the absence of further funding."
Unite says the blame for company's downfall lies firmly at the
door of the cutbacks at Network Rail. The administrators, Deloitte,
had asked Network Rail on Tuesday for confirmation that Jarvis's
existing contracts would continue, but no such assurances were
forthcoming.
Unite has been working closely with Deloitte to reduce the
impact of the closure but the administrators have now confirmed
they will slash posts at the company’s head office in York, as well
as at Doncaster, Glasgow, Leeds, Newcastle and Peterborough.
Jarvis Rail and Fastline, the two divisions involved in rail
engineering and repair, will cease trading. Only the facilities
management part of the firm will continue to trade as normal.
Unite's rail organiser, John Kelly, said: "This is extremely sad
news for these workers and their families. Every effort must
be made to save their skills and return them to work as quickly as
possible.
"It is ironic that the botched privatisation programme of the
last Tory government has now come back to bite the former
Conservative transport minister Steven Norris who was chair of the
company."
ENDS
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