Workers at engineering group lose jobs as firm enters administration

SOME 59 workers out of a total workforce of 82 at a Greater Manchester engineering group have been made redundant after it went into administration.

BDO business restructuring partners Kerry Bailey and Ian Gould were appointed administrators for Coates Engineering Group, Coates Engineering (International) and BCH, near Rochdale.

The companies are specialists in process engineering for the food and confectionery sector and the design and manufacture and engineering of machinery for the nuclear, aerospace, environmental, pharmaceutical and food markets.

BDO have said the companies are trading even though two thirds of the staff were made redundant upon their appointment. The remaining staff are being retained to assist with management of existing contracts.

Bailey said: “Unfortunately, challenging trading conditions have significantly affected the companies’ revenues and their ability to service debt obligations.

“The joint administrators’ priority is to maximise recoveries for creditors and to mitigate losses for customers. We are hopeful of securing a sale and the companies will continue to trade whilst this is explored.”