Carillion’s workers thrown to wolves
The GMB union estimates at least 8,473 Carillion construction staffs wages will be stoped today unless their jobs are rescued by other firms.
David Lidington, Cabinet Office Minister has confirmed the Government would continue to pay Carillion’s 11,000 staff in the UK who work in public services jobs, such as NHS cleaners and school catering workers but thousands of staff working inside Carillion’s private sector companies will have their wages stopped today unless their jobs are rescued by other firms.
It has also emerged that £5m turnover Carillion was down to just £29m of cash when it finally collapsed.
Keith Cochrane interim chief executive had prepared documents as part of the insolvency process explaining why the firm would have run out of cash by the end of today.
Tim Roache, GMB General Secretary commented saying:
“Bosses and ministers caused this crisis, not Carillion workers. The Government is culpable for this mess after ignoring repeated warnings about Carillion’s financial health – now it’s up to the Government to pick up the pieces.
“Guaranteeing the pay of those in the public sector is a start. It’s not a long term solution, but it means people can pay the bills.
“But what about Carillion’s 8,500 private sector workers? Is this Government, who were asleep at the wheel as this disaster unfolded, really saying it is happy to throw them to the wolves?
“The clock is ticking for Carillion’s private sector workers – and the Government must now offer them reassurance and financial guarantees. Not a bail out for the bosses, but security for Carillion’s private sector workforce.
“No worker should go hungry, default on a bill or miss a rent or mortgage payment because of a crisis they did not cause.”