Easter Ross Jobs Blow as Firm Warns of 200 Redundancies
12.03.2016

Easter Ross Jobs Blow as Firm Warns of 200 Redundancies

Easter Ross Jobs Blow as Firm Warns of 200 Redundancies

A MAJOR employer in Easter Ross has confirmed this week that it will be shedding up to 200 jobs in the next few months.

The news that Evanton-based Isleburn Ltd will be making a quarter of its workforce redundant, has been described as devastating by a senior councillor who says the area is already struggling as a result of the slump in the energy industry.

Isleburn, which has facilities in Evanton, Invergordon and Nigg and is part of the Global Energy Group, is blaming the decision on a drop in orders due to the downturn in the oil and gas sector.

The majority of redundancies will be within the manual and blue collar workforce at their facilities in Ross-shire.

Staff were informed of the impending job losses in a letter and it has left many local families facing an uncertain future.

A relative of one Isleburn worker, who contacted the Ross-shire Journal this week, said: “It is a very worrying time for us and all the other families, but unfortunately there are job losses everywhere around this area because of the problems in the oil and gas industry.”

The company told the Ross-shire Journal yesterday (Thursday) that it is to make up to 200 of its workforce redundant over the coming months because its order book has been badly affected by the downturn in the oil and gas marketplace.

A spokesperson for the company said: “It is with great regret we are having to take this action.

“As a company we have been very successful in winning business from key operators in the oil and gas industry which has created many jobs and assisted the local and wider Scottish economy.

“Unfortunately, as we experience the most serious downturn in the North Sea oil and gas industry since the mid 1980s, we are seeing our customers look beyond the North Sea to other areas in the world where the cost base is substantially lower.

“In turn, we simply have to take this action in reducing our cost base to protect our business.

“This regrettably means a reduction in our workforce until demand returns.

“We have kept our workforce advised of our position and we do not envisage these redundancies going beyond the number announced.

“We very much regret this course of action and will do our utmost to keep this figure to an absolute minimum. We will also look to continually review this position in light of us gaining any new contract awards.”

Isleburn Ltd confirmed it currently has 767 full-time employees and, as well as its Evanton base, has facilities in Aberdeen, Deephaven near Evanton, Invergordon and Nigg.

The statement said the majority of redundancies would be within their facilities “across the northern Highlands”.

The news has prompted warnings that the communities around the Cromarty Firth face a bleak future over the next few years.

Cromarty Firth councillor Maxine Smith said: “That is devastating news and just goes further to fuel the downturn in Easter Ross.

“The employees of the oil and gas industry are finding it harder and harder to obtain work, many going further afield such as Angola and the like to obtain employment offshore.

“Some are looking to retrain, doing week’s courses to get their tickets to work in alternative industries such as construction.

“Of course ordinary firms are reluctant to take on oil and gas employees as they expect them to leave at the glimmer of hope of a higher paid job in the oil industry coming up in the future, so it’s a very difficult situation they find themselves in.”

The SNP group leader on the Highland Council fears there are even tougher times ahead.

“Let’s hope that the oil price increases sooner rather than later, but I think people should brace themselves for a good few years of hard times ahead,” she said.

“Let’s not forget it is not just the industry itself that is suffering but all the connected service industries and small businesses in Easter Ross.”

Source: www.ross-shirejournal.co.uk

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