Historic pottery firm collapses with loss of 300 jobs

Credit: www.dudson.com

More than 300 jobs have been lost at historic pottery firm Dudson after the company called in administrators.

The company has been making tableware, glassware, and fine china in Tunstall, Stoke-on-Trent, since 1800.

The news of the administration comes just days after iconic potteries firm Wedgwood announced it was slashing more than 140 jobs.

According to the union GMB, administrator PwC told workers to take their things and leave the premises this morning.

Ross Connock and Matthew Hammond of PwC have been appointed joint administrators of both Dudson (Holdings) Limited and Dudson Limited.

Dudson Limited employed 390 people, with 384 of these based at the manufacturing facility and head office in Stoke.

Administrators said the company experienced significant cash flow pressures as a result of deterioration in sales and increased costs.

“Solvent solutions have been explored by management in recent weeks but unfortunately did not progress, leading to an accelerated sale process, though a going concern sale could not be achieved”, said PwC.

“This has resulted in the company being placed into administration, with the immediate redundancy of 318 employees, whilst 72 staff will be retained to support the closing down of the business.”

The company’s Nile Street factory shop in Stoke-on-Trent will continue to trade, while the administrators look to realise value for existing stock.

Connock said: “Unfortunately, due to challenging conditions it is not commercially viable to continue trading the company. Despite best efforts to sell the business as a going concern, sadly it was not possible. Our thoughts are with the employees affected and we will support them at this difficult time.

“Alongside supporting those staff affected, our focus will now be on realising value for creditors from the remaining assets, including property, stock and plant and equipment, as part of the administration.”

A sale of the Dudson brand and other intellectual property, as well as certain items of plant and machinery has been achieved with Churchill China, also based in Stoke-on-Trent.

Wider international operations of Dudson Holdings Limited are not subject to these insolvency processes.

Wendy Greiveson, GMB organiser, said: “This is another devastating blow for the potteries.

“It is outrageous staff were simply told the company was bust and to leave the premises with no notice whatsoever.

“Dudson have clearly failed in the duty to consult. As a result GMB will be pursuing a protective award on behalf of our members.”

 

Click here to sign up to receive our new South West business news...
Close