Hundreds of jobs lost as construction firm Crummock folds
- Published
Crummock provided civil engineering and surfacing construction services
Nearly 300 staff have been laid off following the collapse of a Midlothian construction firm.
A total of 287 employees lost their jobs after Bonnyrigg-based Crummock called in receivers.
Crummock provided civil engineering and surfacing construction services.
The firm worked on several landmark developments, including the Donaldson school residential development in Edinburgh and Fort Kinnaird Retail Park.
Johnston Carmichael, who were appointed as receivers, said the company had hit financial problems.
'Cash flow difficulties'
Joint receiver Matt Henderson said: "Crummock is a long-established construction business which, like many in the industry, has suffered from reduced margins in recent times.
"In recent months it has also encountered cash flow difficulties due to high retention levels, the tight margins within the sector and business specific issues.
"Unfortunately, the business was unable to raise the capital to enable it to overcome the current financial challenges it faces and we are now dealing with creditors' claims."
Meanwhile, a provisional liquidator has been appointed following the collapse of another building firm in the south of Scotland.
Langholm-based T Graham & Son (Builders) Ltd ceased trading on 31 May.
The company, which was founded in 1982, employed 30 staff. Three have been retained to assist liquidators MLM Solutions.
Keith Anderson, from MLM Solutions, said the building firm had seen a fall in turnover and increasing price competition over the last 12 months.
He added: "This, coupled with delays in completing contracts, has resulted in significant trading losses and severe cash flow difficulties.
"We are working with the employees and liaising with other agencies to protect the interests of the employees at this very difficult time.
"Our focus will then be on disposing the company's assets in order to maximise the recoveries for the creditors.
"All suppliers will be contacted in due course."