Unite says the end of half a century of manufacturing at the old Molins, Maydown Prescision Engineering (MPE) and Schivo site is another sad blow to the industrial base in the North West.
Chair of the trade union’s Executive Council in Ireland, Liam Gallagher said: “The news that the administrator of the former Maydown Precision Engineering, now Schivo NI, has failed to find a buyer for the company is another serious blow to the North West’s Manufacturing base.
“Maydown previously employed eighty-five workers in what was a high value-added manufacturer before it was taken over by Schivo, and rebranded Schivo NI. The site will now close its doors permanently ending fifty years of manufacturing activity on the Maydown site.”
Mr. Gallagher made the comments after Duff and Phelps, the administrators of Schivo NI, announced on Thursday that they had been unable to find a white knight buyer for the stricken aerospace firm.
A Duff and Phelps spokeperson said: “Regrettably, despite a thorough marketing process and having secured the support of key customers, the administrators have not received any acceptable offers for the business and assets as a going concern. As a result, the business will cease trading as of Friday, March 31, and of the remaining employees, eight will be retained to support the winding down of operations.
“At this difficult time, we will work with all employees who will be affected by redundancy to ensure they receive the information and guidance they need to claim monies owed from the Redundancy Payments Office and to support all employees in seeking new opportunities.”
Mr. Gallagher also expressed anger that Schivo had left workers - many long-standing - dependent on minimum statutory pay-outs.
“The workers who have been made redundant are now being forced to apply to the Department for the minimum statutory redundancy payments. Some of these have given a lifetime’s service to the company - some have been working at the site since 1969.
“It is outrageous that Schivo have not stepped up to the plate in providing redundancy for these workers. This is a highly successful company with interests in the gas and medical sectors in the Republic but it has washed its hands of these workers.”
Molins, which started life as a cigar-maker in pre-revolutionary Cuba, first established a cigarette-machine plant at Maydown in the 1960s. MPE was founded after the Molins closure crisis of 1984. Schivo took over nearly two years ago but Schivo NI was placed in administration in January.