Jobs axe falls after Spode goes into administration

Trusted article source icon
Saturday, November 08, 2008
Profile image for This is Staffordshire

This is Staffordshire

ADMINISTRATORS have started cutting jobs at historic pottery-maker Spode.

The world-famous Stoke firm crashed into administration on Thursday, and yesterday 18 North Staffordshire workers were made redundant.

Fifteen jobs were cut at the Church Street factory, and three people were made redundant from the firm's distribution centre in Lymedale, Newcastle.

Administrators PricewaterhouseCoopers (PWC) also made 22 employees redundant at Spode's Worcester-based sister company Royal Worcester.

A spokesman for PWC said: "PricewaterhouseCoopers can confirm that having urgently reviewed the requirements of the business that there will be a number of immediate redundancies.

"The number of redundancies at Royal Worcester and Spode will be 40.

"This will apply to the Worcester, Stoke, and Lymedale sites.

"The administrators are working closely with all employees affected by this decision to ensure they receive the support they need during this difficult time to assist with their claims for redundancy and other compensatory payments.

"The administrators have also briefed all other staff at Royal Worcester and Spode and will work closely with them over the coming weeks as the business continues to trade normally."

But union leaders are considering taking PWC to court over the cuts.

Garry Oakes, assistant general secretary of ceramics union Unity, pictured below, said: "As far as I am aware there has been no consultation between the union and PWC.

"We will be looking at pursuing a tribunal to have a Protective Award granted which would safeguard these jobs until there has been proper consultation.

"We were under the impression PWC were confident this was a going concern, so the redundancies have come as a shock."

Before the redundancies, there were 62 people working at Lymedale and 90 at Stoke.

PWC declined to say whether there had been any interest from potential buyers.

News of the global brand's problems casts into doubt the future of a company which has manufactured in Stoke-on-Trent for more than 240 years.

In December 2006, Spode said the future of the Stoke factory was uncertain after making 200 redundancies.

Paul Billington, councillor for Stoke and Trent Vale and deputy leader of the Liberal Democrats Group, said: "I would be disappointed if the first thing PWC did was come in and make redundancies.

"The company has punched well above its weight for a long time with very few employees.

"I hope this is the worst rather than the first of it."

3
Tweet this article
Report

3 Comments

  • Profile image for This is Staffordshire

    by Anthony Summers, Queensland, Australia

    Wednesday, January 07 2009, 11:19PM

    “My wife¿s grandfather was a floor foreman for Royal Worcester pre-1940 as was his father before him, hence we have been interested in and collected porcelain from this great porcelain company for many years.
    It was a great disappointment when it merged with Spode and now a disaster that yet another illustrious English porcelain company ¿Bites the dust¿. Maybe these companies should have concentrate on quality as did their forefathers, not on quantity as is the modern way.”

  • Profile image for This is Staffordshire

    by Geoff McWiliam, Queensland Australia

    Tuesday, November 18 2008, 1:55AM

    “My grandfather was a Josiah Spode, bank manager. His grandfather was also a Josiah Spode, magistrate and Superintendent of Convicts in Tasmania circa 1830's. His grandfather was Josiah Spode I.

    It has saddened me greatly to see the old family firm in such decline.

    Along with my two sons and daughter, we run a number of very successful retail businesses in Australia.

    My second son trained as a secondary school teacher in the sciences but has an entrepreneurial flair along with a love of music ( sounds familiar ) and now runs the retail arm of our businesses (pharmacies).

    He spent a number of months in recent years in the UK and was disappointed, as a teacher attempting to teach students west of London, at the lack of drive or interest shown by the pupils.

    Perhaps it is to be expected that once great societies eventually collapse under the complacence that seems to follow eras of success.

    Nevertheless it is indeed sad to witness this decline.

    Entrepreneurial drive often resides within individuals and their families, more so than within the corporate world.

    It is to be hoped that someone with personal drive and entrepreneurial skills can reinvigorate this business and find their niche in a worldwide market, despite the current economic downturn.

    I wish the employees all the best of luck in finding such a person.”

  • Profile image for This is Staffordshire

    by Lisa, Cheadle

    Sunday, November 09 2008, 11:01PM

    “And there goes another! What has happened to our Potteries Trade? The process is fascinating and yet it is all going. Our children won't even have the opportunity to learn the trade. Just a great shame!”

        Your comments awaiting moderation

        Add your comments

        max 4000 characters