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257 employees at Owen Pugh made redundant

owen pugh

Administrators for Dudley-based Owen Pugh Group have said that 257 employees have been made redundant, with all but one of its businesses, including civil engineering, ceasing to trade.

Administrators from Grant Thornton have said that Owen Pugh Aggregates, which operates Marsden Quarry near Sunderland, continues to be maintained whilst a buyer is sought and that all 30 employees remain. It said it has had a “significant” amount of interest in the business so far.

Administrators were called in on Monday.

Administrator Christopher Petts said: “Unfortunately, and despite our best efforts, the position regarding the other businesses making up the Group is less positive. Upon our appointment it quickly become clear that the civil engineering contracting arm of the business was not viable and further trading could not be supported. Furthermore, key customers highlighted that the insolvency of the Group had triggered contract termination clauses.

“In turn, due to the inter-dependency within the Group on these large civil engineering contracts, there was a knock on effect on the viability of the plant hire and drain services businesses.

“Therefore, after much consideration, and taking into account the absence of funding available to the Joint Administrators, the reluctant decision has been taken to cease to trade Owen Pugh & Company, Owen Pugh Civil Engineering, Owen Pugh Contracts, and HCS Drain Services, with 257 employees being made redundant.”

Nine employees are also remaining at the head office to help the administrators.


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