Hundreds of construction jobs lost as Dunne Group folds


Scottish firm Dunne Group stopped work earlier this week, leading to the loss of hundreds of jobs…

A total of 524 jobs have been lost as Dunne Group entered administration earlier this week. The firm, which has its head office in Bathgate, West Lothian, ceased work on Tuesday.

Administrators appointed to Dunne Group are FRP Advisory, who have sites in Glasgow, Leeds, Dublin, and London.

Joint administrator Tom MacLennan said: “This is a sad loss for the construction and building industry. The business faced substantial trading losses on some contracts, leading to severe cash flow pressures.

“Additionally, rapid expansion led to pressure on working capital and a requirement for significant additional funding that was not available.

“Given these issues, the joint administrators have had to cease trading, resulting in 524 employees being made redundant. A team of 16 staff will be retained to assist with the closure process and realisation of the business’ assets.

“Our priority is to work closely with all agencies and services to ensure employees receive every support and assistance at this very difficult time.”

Workers will be helped by construction union UCATT to try to recover pay for work they have carried out.

Steve Dillon, regional secretary of UCATT Scotland, said: “Contractors and clients approved and appointed Dunne Group to undertake work on their projects. They should have made financial checks to ensure the company was stable.

“It should not be the workers who have to pick up the bill for the company’s collapse.”

The firm was set up in 2001 initially as a concrete specialist. It eventually expanded into design and construction, and has a plant hire division CLR.

Dunne Group, which is wholly owned by Gordon Dunne, saw a turnover of £74m last year and was expected to hit £96m this year.


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