HUNDREDS of employees have been told their jobs are safe at the Warwick branch of Carillion Telent.
Construction giant Carillion announced the liquidation of the company this morning (Monday), after talks between the firm, its lenders and government failed to reach a deal.
Carillion ran into trouble after losing money on big contracts and running up debts amounting to some £1.5 billion.
But some 500 staff at the Warwick branch of Carillion Telent have been told the company will continue to operate, with Carillion staff transferring to Telent.
The two companies launched a joint venture in 2009, with its Warwick-based business on Haywood Road securing big contracts with telecommunications giant BT.
Part of the venture agreement means Telent can take over 100 per cent of the contract which will keep staff in jobs.
Telent chief executive Mark Plato said: “Following the news this morning of the liquidation of Carillion, Telent would like to reassure customers, workers and sub-contractors of the Carillion Telent Joint Venture remains open for business and there will be continuity of delivery to its customers.
“The venture was established with Carillion in 2009, with a legal structure that gives Telent the right to step into 100 percent of the joint venture in the event of insolvency, enabling it to continue to operate, providing continuity and business as normal to its customers, workers and subcontractors.
“Existing contracts will be honoured and continue to run as normal, including the two biggest contracts with Openreach and Gigaclear. “All workers involved in the joint venture not currently employed by telent will transfer to telent, securing all jobs and delivery of the service. Subcontractors will continue to operate under their existing arrangements.
“Given our technical know-how, proven experience and financial strength, we will continue to successfully operate.
“We have initiated implementation of our contingency plans this morning to ensure a smooth transition and are maintaining open communications with customers, workers and subcontractors.”