A company restructuring has protected jobs at an electrical firm based in Elgin and Inverness during a difficult time for the construction industry.
NES (North) Limited is fully operational and will fulfil all contracts undertaken by its subsidiary NES (North Electrical Services) Limited. The Elgin workshop remains open and the safeguarded workforce includes 14 apprentices employed at the two bases.
NES (North Electrical Services) Limited is seeking to appoint administrators to protect the core business following an aggressive legal action by a supplier.
The company has experienced cash flow issues arising from late payments by customers and certain contractual disputes.
As a result of the restructuring, the administration function will be relocated to the Inverness office and this may result in the loss of some admin posts in Elgin.
The company continues to enjoy robust support from customers, the industry and investors.
The situation affecting NES (North Electrical Services) Limited is increasingly common within the UK construction industry.
Kenny Duncan, managing director of NES (North) Limited, said: “Like many companies in the industry, we have experienced cash flow difficulties.
“But we have taken action to protect staff and clients and we continue to trade as normal.”