Administrators have failed to find a buyer for Waterford-headquartered Schivo’s former failed Derry operations which, according to trade unions, will finally close its doors on Friday leaving about 40 people without a job.
Schivo had been forced to call in administrators in January to Schivo NI – a business it had acquired out of another administration two years ago.
It had previously traded as Maydown Precision Engineering and supplied parts to major aircraft manufacturers including Bombardier and Airbus. When it was taken over by Schivo NI, it had employed 131 people.
But Schivo had been unable to turn the Derry business around despite cost cutting measures and reducing employee numbers and had to call in administrators to ensure the continuing success of its other business operations in Waterford and Leicestershire in the UK.
Liam Gallagher, chair of trade union Unite’s executive council in Ireland, said the failure of the administrators to find a buyer for Schivo NI is a blow for the area, ending 50 years of manufacturing activity on the Maydown site.
“The workers who have been made redundant are now being forced to apply to the department for the minimum statutory redundancy payments. Some of these have given a lifetime’s service to the company – some have been working at the site since 1969.
“It is outrageous that Schivo have not stepped up to the plate in providing redundancy for these workers. This is a highly successful company with interests in the gas and medical sectors in the Republic but it has washed its hands of these workers,” Mr Gallagher said.
