Failing construction arm of Shepherd Group completes rescaling of its business
Shepherd Group has completed the restructuring of its construction arm by making 55 redundancies largely among back office staff.
The York-based group鈥檚 accounts published in December 2014 showed the company鈥檚 turnover fell to 拢686m in the year to 30 June 2014 from 拢748.3m the previous year. Pre-tax profit also fell to 拢11.4m from 拢13m over the period.
Shepherd chairman David Williams described the results of the group鈥檚 construction and engineering businesses at the time as 鈥渧ery disappointing鈥�.
Shepherd Construction confirmed in April that it had begun a review of its business, and Shepherd Group鈥檚 chief executive Mark Perkins (pictured) said at the time that the board was reviewing the construction arm to 鈥渆stablish the right scale and platform for future growth鈥�.
The review has now been completed, and a Shepherd spokesperson told 黑洞社区: 鈥淔ollowing a review of the Shepherd Construction business, along with its support service teams, a consultation process with employees has now concluded.
鈥淎s a result of this process we can confirm that we have made 37 compulsory redundancies, with an additional 18 employees taking voluntary redundancy.
鈥淲e are doing everything possible to prioritise the welfare of staff affected, and ensure our effectiveness as a leading built environment specialist.鈥�
It was reported in March that Shepherd was in negotiations to sell its construction business to contractor Wates, however both firms have refused to confirm the story.
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