126 jobs lost as firm goes into administration

The firm was based at Lochgelly Miners Institute
The firm was based at Lochgelly Miners Institute
1
Have your say

Local politicians have expressed their sadness following the shock news that a Lochgelly electrical and maintenance firm has gone into administration with the loss of 126 jobs.

Gordon Brown MP and councillor Ian Chisholm, who represents Lochgelly and Cardenden, described the news as a ‘sad blow for Fife’ and said their thoughts were with the families of those who are now out of work.

On Friday the workforce at Northsouth Communication - which is based at Lochgelly Miners Institute in the town’s Main Street - learned the company had gone into administration after becoming insolvent, and all jobs have been lost.

But Baker Tilly Restructuring said Keith Anderson and Adrian Allen have been appointed joint administrators to Northsouth Communication after the company had been suffering from a lack of profitability and cashflow issues.

In a statement a spokesman said: “It was the intention of the administrators to try and effect a rescue of the Company’s business by trading on, but this proved impossible, and as a result, all trading ceased on Friday, January 23.

“Regrettably, the administrators had no choice but to make the 126 employees redundant. Advisers from Baker Tilly will be helping all affected staff to make claims to the Redundancy Payments Office.”

Local MP Gordon Brown said: “It is a sad blow for Fife that Fife jobs are at risk because the Northsouth Communication group have gone into receivership. While most of the 126 jobs are from outside of Fife, the company, which started in Kirkcaldy and had ambitious plans to double its turnover when it moved into bigger premises in Lochgelly ​with maintenance contracts from Scotrail, has been unable to meet its own targets.

“If there is a way back, I will help the company. In the meantime I have asked Fife Council to talk to the employees to make sure that we can find alternative jobs for them.”

Local councillor for Lochgelly and Cardenden, Ian Chisholm said: “I had been hopeful Northsouth Communications could have been saved as a going concern but the receivers have had no luck in finding a company to take over the firm. My thoughts are with the families of those who have lost their jobs and I have been in touch with Annabelle Ewing MSP to see what support the Scottish Government can give.”

Company’s expansion plans

The news that Northsouth Communication has gone into administration, with the loss of 126 jobs, comes after the firm embarked on an expansion drive after winning a major Scotrail contract to maintain stations across the Scottish network.

Only 12 months ago it was understood to be on track to nearly double annual revenues to £7 million after increasing its workforce and re-locating to larger headquarters.