Unite has called on the Scottish government to make urgent interventions after the employee-owned paper manufacturing firm Tullis Russell was placed into administration this morning (Monday 27 April 2015).
The development comes less than two months after the official opening of a new £200 million combined heat and power (CHP) biomass plant on site, which Energy Minster Fergus Ewing and Tullis Russell Group Chief Executive Chris Parr said would ‘safeguard 500 jobs’.
Administrators KPMG announced that 325 of the 474-strong workforce at Markinch, Fife, would be made redundant with immediate effect, claiming ‘severe cash flow issues’ as a result of market pressures.
Unite Scottish Secretary Pat Rafferty said, “Last month the Scottish Energy Minster Fergus Ewing heralded a bright future for the Markinch workers with the opening of the new biomass plant, aided by a public subsidy of over £8 million.
“We know that the company has been seeking a new buyer but it is remarkable that in such a short space of time 325 jobs can go from being safeguarded to the scrapheap while a further 149 posts are put on notice.
“Our members’ on the employee board have had no communication or consultation from the directors that the company would be put into administration – it is totally unacceptable.
“Unite is calling for immediate intervention by the Scottish government to restore the employment status of the workers made redundant today and to save the future of this site.”
For further information please contact Unite Regional Officer Dougie Maguire on 07810 157925 or Peter Welsh on 07810 157931.
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Unite is Britain and Ireland’s largest trade union with over 1.4 million members working across all sectors of the economy. The general secretary is Len McCluskey.