170 jobs at risk as firm slumps (From Bradford Telegraph and Argus)

170 jobs at risk as firm slumps

8:10am Saturday 4th February 2012 in News

Keighley’s second largest private sector employer has been put in the hands of administrators, a week after a deal to sell the struggling business fell through.

The move has put the future of 170 jobs at Oakworth Joinery, at Royd Ings Avenue, in doubt.

The company, which also has a registered office in Leeds, is one of the UK’s largest independent timber window and door manufacturer and has operated in the town since 1965.

John Russell and Chris White, of national business recovery and insolvency specialist, The P&A Partnership, have been appointed administrators of Oakworth Joinery which is the latest victim of the slump in construction.

Mr Russell said: “Our immediate priority is to look at options for the business.

“Unfortunately Oakworth is a victim of the continuing downturn in the construction sector and of difficulties in accessing finance for new machinery.

“Oakworth’s directors have tried their hardest to keep the business trading profitably and took appropriate professional advice early on in order to give the business the best chance of survival.

“They actually found a buyer themselves, but unfortunately the deal fell through last Friday.”

Oakworth Joinery was bought from Nobia Holdings UK Ltd, which also owns Magnet, in 2010.

Ironically, Oakworth Joinery’s problems have reached their height as a new report revealed Britain’s construction firms are more upbeat about prospects this year in spite of a slowdown in the pace of growth last month.

January’s Markit/CIPS survey revealed the second biggest monthly jump in business confidence in the study's history, fuelling expectations that growth may pick up again in 2012.

CIPS chief executive David Noble said: “It’s clear many businesses have replenished their levels of optimism and have high expectations for improving economic conditions and new contracts.”

One worker, who was leaving the factory last night but did not want to be named, said management had delivered the bad news to staff at a meeting in a morning meeting.