Jarvis set to shed 1000 jobs with no rescuing site
Jarvis, the UK's leading rail maintenance company, has today been forced to shed 1000 jobs as the administrators to the company concede there is little chance of securing a rescue for the fallen group. This is a bitter blow to the business which depends predominantly on public sector service investment with a particular emphasis on the rail network and the maintenance of the line.
The company was forced into administration last week after funding ran-out, banks refused to commit to the longer term and trading continued to be difficult. As a consequence, Deloitte, the administrators appointed last Thursday, have today informed 1,000 of the company's staff (many located at the rail maintenance operation) that they will not be employed by the company from tomorrow.
It had been hoped that meetings with Network Rail would at least have given some guarantee of work in the short to medium term although this was not forthcoming amid concerns that a number of maintenance programs and investment programmes on the UK rail network have been delayed. This comes despite the fact that the UK government has refused point blank to reduce investment in public sector services, at least in public, while behind the scenes it looks as though the squeeze has begun.
Share this..
Related stories
Did Merrill Lynch benefit from the Lehman Brothers collapse?
As the timeline for the collapse of Lehman Brothers continues to unfold there is a feeling that Merrill Lynch may well have benefited from insider knowledge that the company was going under. Rumours have been rife for days that Merrill Lynch was struggling to stay afloat and the onset of last ditch talks to avert the collapse of Lehman Brothers seems to have alerted others in the market to act so...
Read MoreFSA crackdown on insider dealing gathers pace
This week has seen a former banker and his wife charged with regards to market abuse laws in the UK in a further crackdown on insider dealing. The Financial Services Authority (FSA) has been making a specific play for insider dealing for some months now and a number of high-profile cases have recently reached the criminal courts. The FSA is also looking to extradite a third person in the allege...
Read MoreIs It Time To Reduce Business Debt Where Possible?
When times become difficult many people often look at using their savings to pay off their debts and put their finances on a more even keel, but is this the same in business? Should you look to reduce debts where possible?
While there is nothing wrong in reducing your debt levels in times of trouble, reducing your interest charges and taking some pressure off company finances, it is...
British Airways Agrees Tie-up With American Airlines And Iberia
In a move which has already proved controversial British Airways has today announced a deal with American Airlines and Iberia which will see the airlines work more closely together in the future on flight data, ticketing information and airline seats. As you might have guessed the move has prompted an uncompromising response from Virgin Airlines.
Virgin has been on the war path for...
Asda staff set to collect share bonus
Member of the Asda employee sharesave scheme are set to reap substantial benefits after taking the plunge with their hard earned cash. The company believes that around £43 million will be paid out to employee sharesave members over the next few months which will be a 150% return on their initial capital investment.
Over the period Wal-Mart shares have increased from around £21 to...