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Employment lawLatest NewsEconomics, government & businessJob creation and lossesRedundancy

Widespread redundancies expected at building contractor Alfred McAlpine after £600m takeover deal with Carillion

by Gareth Vorster 7 Nov 2007
by Gareth Vorster 7 Nov 2007

Widespread redundancies are believed to be imminent at building contractor Alfred McAlpine, following a £600m takeover deal with Carillion, according to construction business publication Contract Journal.

McAlpine has 8,500 staff and 33 offices in the UK, while Carillion has 50,000 staff and 13 sites. The two firms overlap in many regions of the country, including Manchester, Bristol and Glasgow.

According to Contract Journal, redundancies are expected among senior figures and regional staff at the company, while Ian Grice, Alfred McAlpine chief executive, is also set to depart should the Carillion takeover happen.

Despite the overlap, McAlpine staff were told by company chiefs last Friday that it was “too early” to know how many of the 8,500 employees would face the axe. A Carillion spokeswoman said the company had no information on planned redundancies.

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According to the source, the human resources and IT departments within McAlpine are “panicking like hell” because Carillion has its own set ups.

One recruitment company contacted by Contract Journal on Monday said it had received eight calls from McAlpine staff within two hours of opening on Monday. “These range from departmental managers down to the troops,” a source said.

Gareth Vorster

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