Corby and East Northants MP calls for meeting with luxury yacht builders after job cuts warning

MP Tom Pursglove has called for a meeting to discuss Fairline's future.
MP Tom Pursglove has called for a meeting to discuss Fairline's future.

MP for Corby and East Northants Tom Pursglove has called for a meeting with Fairline Boats after the luxury yacht maker warned of significant job losses in its bid to keep the business afloat.

Yesterday it was reported that the company had already begun a consultation period with staff about possible redundancies as it seeks to stem financial losses.

Fairline, which has bases in Corby and Oundle, also announced it is seeking agreement from its creditors for a Company Voluntary Arrangement to help it repay burdensome debt.

The news comes just weeks after the company announced it was temporarily laying off 109 of its 465 staff for four weeks.

And Mr Pursglove said he will continue to press the yacht builders for answers.

He said: “Yesterday, I was disappointed to hear the announcement of job losses at Fairline – they are a major local employer in both Corby and East Northamptonshire and this announcement will be of great concern to local families.

“In the last few weeks, I have been contacted by a number of constituents in respect of Fairline’s future and have been working hard to try and meet its new executive team, including offering to rearrange both my Westminster and constituency diaries around them on numerous occasions.

“Unfortunately, however, this has been to no avail, with requests either unanswered or ignored.

“In the run-up to Christmas, it is imperative that those employees affected are fully aware of the situation, and it is also important to get all parties around the table to discuss how we can help these workers and their families at this difficult time, and also to see if there is anything that can be done to help secure Fairline’s future.

“As such, this afternoon, I have again contacted senior executives at Fairline and stressed both the importance and urgency of a meeting with them and I do hope they accept my offer to meet with them later this week, at their convenience.

“Rest assured, I will continue to press Fairline for answers to the questions that my constituents, and their employees, have, and sincerely hope that they will make themselves available to meet with me later this week.”

A statement issued by the company yesterday read: “Since last month’s acquisition of Fairline Boats Limited, Britain’s leading luxury yacht manufacturer, new owners Wessex Bristol Investments have taken significant steps in moving the company back towards profitability.

“The company has made a recent announcement regarding a workforce restructure, which has involved the business entering into a collective consultation period with staff.

“This will enable Fairline to right-size its operations to better reflect the marketplace environment, thereby permitting the business to operate efficiently.

“Regrettably this process is expected to result in a significant number of redundancies.

“Nonetheless, it is a process entered into in the best interests of the business’ key stakeholders, namely the creditors and employees, in an attempt to safeguard as many British jobs possible, in both the present and the future.

“Furthermore, Fairline has procured the services of turnaround specialists KSA who are assisting in the development of a complete and robust recovery and restructuring plan for the business.

“This will involve the company proposing a Company Voluntary Arrangement which, if agreed by creditors, will allow the company to restructure its debt and move forward with a sensible and manageable cost base.

“The company is working closely with its professional advisors and is confident that both staff and creditors will support this proposal, maximising the opportunity for a positive outcome for the greatest number of employees and creditors.

“Once the restructuring has been concluded, Wessex Bristol will turn its attention to implementing its long term growth strategy for this great British manufacturer.

“Wessex Bristol remains committed to the long term success of Fairline and will continue to develop the brand post reorganisation.

“We are in the business of building the best hand-made, custom built British boats in the world and sincerely believe in our plans to ensure the long term success of Fairline.”