Carillion Collapse Could Lead to Thousands of Job Losses in U.K.

  • 7 years ago
Carillion Collapse Could Lead to Thousands of Job Losses in U.K.
Mrs. May replied that if the government had withheld business from Carillion, "that would be the best way to ensure
that companies failed and jobs were lost." "We ensured that all but one of those contracts was a joint venture," she added, meaning that "there is another company available to step in and take over the contract." The Insolvency Service, a government agency, said on Wednesday that it had halted bonus and severance payments to former Carillion executives.
But Interserve, business analysts and the government all said
that concerns about the company were overstated; in a statement, the Cabinet Office said, "We do not believe that any of our strategic suppliers are in a comparable position to Carillion." Carillion, with about 20,000 employees in Britain, touched myriad sectors of British life, as well as operating overseas.
But the government has said that it could not ensure
that thousands of the company’s employees working on private-sector projects would be paid past Wednesday.
17, 2018
LONDON — The fate of thousands of workers hung in the balance on Wednesday after the collapse of Carillion, a major construction and services company
that has a vast network of subcontractors and reaches deep into many facets of British life.
Jeremy Corbyn said that It looks like the government was handing Carillion public contracts either to keep the company
afloat, which clearly hasn’t worked, or it was just deeply negligent of the crisis that was coming down the line,
At the construction site of the new Royal Liverpool University Hospital — where activity slowed sharply on Monday and some workers reported finding the site locked — work resumed on Tuesday,
but some subcontractors said they expected delays as Carillion’s obligations were reviewed.

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