The energy company today (Tuesday) announced that there would be 222 of its Perth employees taking voluntary redundancy, with the remainder of the staff working from home.
In today’s meeting, Mr Letts was able to confirm that no compulsory redundancies are going to be made, after a high uptake of their voluntary redundancy programme. However, he also confirmed that he expects a total of 222 job losses in Perth.
Mr Wishart said: “It is reassuring to hear that OVO are not making any compulsory redundancies following a high uptake of their voluntary redundancy programme.
“However, the news that over 222 jobs are set to be lost in Perth is still a devastating blow to the local labour market. These are people who live and socialise in the area, providing business to local amenities, and who may now be planning to move elsewhere. It is now vital for OVO to prioritise retaining the Perth staff who will be working from home by offering any support they may need.
“It is also extremely regrettable that OVO are not considering an alternative use for their Perth base. This is a state-of-the-art facility that cannot simply be left to rot, and I will be pushing OVO to ensure that does not happen.”
Also commenting, Mr Swinney said: “Whilst it is good news that there will be no compulsory redundancy programme, the loss of 222 jobs will still have a potentially serious impact on the local Perthshire economy.
“To that end, I am keen to get further information regarding the status of those taking voluntary redundancy, with a particular emphasis on how many have found new jobs. OVO have agreed that they will look into this matter for us and report back with their findings.
“I am also keen to explore opportunities for the continued use of the Perth office, so as to ensure that the facility does not lie vacant. It is my understanding that preliminary discussions are underway regarding this and I will continue to monitor this matter closely.”
Mr Fairlie added: “Whilst I am pleased that OVO are not having to consider compulsory redundancies, it remains fundamentally disappointing that they will not reconsider the closure of their Perth office. I am pleased that a high percentage of Perth-based employees have taken the decision to stay with the company, but will be pressing them to ensure that the promised permanent home working support is adequately delivered. It is vital that the Perth office finds a new purpose, and I am keen to work to find a business who can give a long-term commitment to the site.”
Scottish Conservative MSPs Liz Smith and Murdo Fraser have both expressed disappointment on hearing of the job losses for OVO staff in Perth.
Commenting, Liz Smith, who represents the Mid Scotland and Fife region, said: “We haven’t heard of any compulsory redundancies among OVO’s Perth staff, but this is still bitterly disappointing news. It is a blow for local families and a blow to the Perth economy.
“While many OVO Perth staff will be working from home, this decision means the end of a presence at the Perth site, and seems sadly to be a sign of the times.”
And Murdo Fraser MSP, who also represents the Mid Scotland and Fife region, added: “This announcement will be a big blow to the local economy, and means the Perth site will become vacant. Perth has had its share of sizeable sites being closed in recent years, so we will again ask if the Scottish Government will consider moving some jobs to this location.
“One positive aspect we do welcome here, is that fact that so many Perth OVO staff will continue to work from home, after we called for this to happen.”