Schivo NI: 30 workers made redundant at aerospace firm

Around 30 workers at engineering firm Schivo NI have been made redundant, according to trade union Unite.

Administrators were appointed to the Derry factory two weeks ago, leaving over 80 staff members fearing for their jobs.

The remaining 50 staff members have been kept on to fulfil outstanding contracts and are due to return to the factory this afternoon.

Phillip Oakes Regional Officer at Unite the Union said:

"We had a good idea that all 83 jobs weren't going to be saved, on the basis that some of those contracts are more lucrative than others. We knew that any potential buyer would look to cut staff.

"For those that exited yesterday, I haven't spoken directly to them but I have spoken to their representatives. They are highly disappointed that there was no vetting process, however it is my understanding that the administrators looked at the job profile and skills profile of the contracts that are remaining going forward. That's how they have chosen the people who are staying.

"It is my understanding that talks are still ongoing in the background with any potential buyers. Hopefully that will move quicker as the next weeks pass.

"Unfortunately at this point the administrators aren't in the position to employ anyone. All they are trying to do is keep contracts alive for any potential buyer who may come in. While they can do that for a short period of time, they can't do it indefinitely."

The precision engineering company manufacture components for aerospace firms such as Boeing.Formerly Maydown Precision Engineering, the business was bought over by the Waterford-based company 18 months ago. 

MLA Gary Middleton described it as a "sad day" for the city, he said:

“I have been speaking to one of the employees who is very angry, not only that they have lost their job but they now have to seek advice in terms of financial assistance because they have bills and mortgages to pay.

“The difficulty we have is that it is a limited skills market. The workers have a unique set of skills, they will now have to compete in a market that is already very difficult and it may lead them to look for work in other areas adding to the stress and anxiety.

“It’s a very sad day but we have to work forward and it is my understanding that officials within the Department for Economy hare liaising with the administers of Schivo so hopefully as resolution can be found but unfortunately that looks unlikely.”