50 jobs axed as company collapses

[TEESSIDE SCAFFOLDER]

50 jobs axed as company collapses

By Karen Dent
Jul 6 2011

ALMOST 50 workers have been laid off a North East construction firm was placed into administration.

Newcastle-based Whelan Construction had revenues of £18m last year but has struggled in the contracting construction market.
Administrator Nick Reed, of PricewaterhouseCoopers in Newcastle said: “Like many businesses in the construction sector the business has experienced difficult trading conditions throughout 2010 and 2011 with margins coming under significant pressure.
“There has been less work available in the market and the company has been unable to replace work with new contracts at appropriate margins.
“As a consequence the directors have reached the difficult decision to appoint administrators as the company has insufficient orders to continue to trade solvently.
Following the appointment of administrators today the business ceased trading with immediate effect and 49 employees have been made redundant

 

[Mitchells Scaffolding]

the game just gets harder

 

[jakdan]

thats a shame, good local firm worked with them for over 20 year.

 

[Dass]

It looked like they had a lot of work on including their own developments.

In Newcastle town centre they are finishing off two student accomodation blocks with about 900 rooms. If they are lucky, Interserve might have been paid as the scaffold has been down for a month or two.
They've just had scaffold up on the travelodge extension at Cramlington and they've still got scaffold up on a job in Wallsend.

Like Jakdan said, shame to see a good local firm go under

 

[superscaff75]

yeah fcuk me , if likes of whelans are going bang , just shows we no where near out of the doo doo