Staff facing the axe hold a work-in to save 1,400 jobs

HUNDREDS of staff at a major offshore engineering firm last night agreed to a ‘work-in’ as part of a desperate bid to save their jobs.

Burntisland Fabrications (BiFab) employs around 1,400 people at three sites in Scotland.

The firm is working on two contracts for the Beatrice offshore wind farm, located in the outer Moray Firth.

But yesterday it was confirmed that the Fife-based business is in a ‘critical cash condition’ and has filed for administration.

The number of workers facing the axe is unknown as only 250 are permanent salaried employees. The rest are hired through agencies.

But unions fear that 600 professionals could face the axe.

Alan Ritchie of the GMB union – which has 440 members across BiFab’s yards in Burntisland and Methil in Fife and Arnish on Lewis – said workers had agreed to continue clocking in despite the fact they may not be paid.

He added: ‘The workers have decided to continue a work-in. They will be maintaining the gates to make sure the contract, which is 77 per cent complete, will not be taken out of any of these yards.

‘The workforce is saying that they’re going to carry on working as normal because they want the right to work.

‘They’re looking for a solution, maybe someone to bring the parties together – whether it’s the Scottish parliament or the Westminster Parliament.’ GMB Scotland secretary Gary Smith said his members were ‘absolutely furious’ that they found out about the situation through the media.

He told BBC Radio Scotland: ‘I’m very clear, closure of those yards and the sacking of those workers is not an option.

‘Every political interest in Scotland has told us that renewables are the jobs of the future. If they do not do something to secure the future of these yards, it will be a hammer blow to their credibility.’

Also speaking to the BBC, Energy Minister Paul Wheelhouse said notice of intention to appoint administrators gave the company a period of time to work closely with clients and other interested parties.

But, he added: ‘Clearly, the clock is ticking. We have to work closely with the company and with their stakeholders to try to deliver a solution here.

‘I want to reassure you of that point, that we will leave no stone unturned.

‘We are dealing with a very sensitive situation, with a very significant company that is important to the Scottish economy.’

Last night, Martin Adam, managing director of BiFab said: ‘We are very disappointed that we have found ourselves in the current position, which has arisen as a result of a challenging situation in respect of our ongoing contracts which have been providing much needed employment locally in Scotland.

‘We are seeking a rapid solution with our key stakeholders and the Scottish Government to our cash flow position and are hopeful that this can be achieved quickly to secure the future of the business and the 1,400-strong workforce.’

Seeking to go into administration involves filing a notice of intention to appoint administrators.

This allows a company a tenday grace period in which creditors cannot take action to recover cash they are owed – buying vital time.

Once administrators have been appointed, they take over control from the company directors.

Administrators usually aim to salvage a business, either in part or in whole, and to repay outstanding debts.

‘Hammer blow to their credibility’