SPECIALIST building contractor McGill & Co has gone into administration, with 374 of the company’s 429 employees losing their jobs.
Blair Nimmo and Geoff Jacobs of KPMG were appointed as joint administrators yesterday.
The 55 remaining employees have been retained to assist the joint administrators to realise the company’s assets, including four freehold properties, contracts, an order book and construction equipment. Joint administrators are exploring whether an early sale of some of the business and assets can be secured.
In recent years, McGill & Co has suffered from challenging trading conditions in the construction sector and has encountered disputes and delays in payment for several projects. Reduced margins, combined with contract and payment delays and a downturn in billable work during the winter months, left the company with a significant funding shortfall.
Business Minister Jamie Hepburn said a Partnership Action for Continuing Employment (Pace) event will be held in Dundee for affected staff on February 7.
He added: “I was very disappointed to learn about the situation at McGill & Co in Dundee and at its operations in Glasgow and Edinburgh.
“Scottish Enterprise engaged closely with the company in recent months and has worked with it to try and find a solution to its difficulties.
“I had spoken with McGill’s managing director and offered the full support of the Scottish Government and Scottish Enterprise. Unfortunately, McGill’s trading situation changed rapidly which meant a positive outcome solution for the company was not possible.
“I am seeking a call with the administrators, KPMG, at the earliest opportunity. Our Pace team has been alerted and stands ready to offer its full support to the workforce.”
Nimmo said: “McGill & Co Limited is a well-known, long established business and provides a significant source of employment, particularly in Dundee both directly and through the supply chain.
“Disappointingly, market conditions and contract related disputes have required the business to cease trading.”
Why are you making commenting on The National only available to subscribers?
We know there are thousands of National readers who want to debate, argue and go back and forth in the comments section of our stories. We’ve got the most informed readers in Scotland, asking each other the big questions about the future of our country.
Unfortunately, though, these important debates are being spoiled by a vocal minority of trolls who aren’t really interested in the issues, try to derail the conversations, register under fake names, and post vile abuse.
So that’s why we’ve decided to make the ability to comment only available to our paying subscribers. That way, all the trolls who post abuse on our website will have to pay if they want to join the debate – and risk a permanent ban from the account that they subscribe with.
The conversation will go back to what it should be about – people who care passionately about the issues, but disagree constructively on what we should do about them. Let’s get that debate started!
Callum Baird, Editor of The National
Comments: Our rules
We want our comments to be a lively and valuable part of our community - a place where readers can debate and engage with the most important local issues. The ability to comment on our stories is a privilege, not a right, however, and that privilege may be withdrawn if it is abused or misused.
Please report any comments that break our rules.
Read the rules hereLast Updated:
Report this comment Cancel