Union worry over tile firm claim

Unite is concerned key workers are getting jobs elsewhere

A union says it is concerned at claims the troubled Dennis Ruabon tile factory in Wrexham is in "business as usual".

The company laid off more than 80 workers when it went into administrative receivership and was bought by Ruabon Sales Ltd last week.

Its website said it was still able to take orders. However, the workforce has not been re-employed.

The Unite union fears it is trying to sell stockpiled products, but the firm denied any plans to "asset strip".

Dennis Ruabon - which called itself the last clay quarry tile manufacturer in the UK - went into administrative receivership last month.

Why allow highly-trained operatives to go and find work somewhere else if you are intending to start production back up? Liz Lewis, Unite

Ruabon Sales Ltd bought the firm on 1 February, amid some fears the new owners could strip its assets.

However, a recently-posted message on the Dennis Ruabon Tiles website said: "Following the recent short-term cessation of trading at Ruabon, the business has been taken over by private investors who have a desire to re-profile the production activities over the next six months with a view to improving the operating efficiencies.

"They have retained key management to assist with this review and funding could be made available if the plan so requires.

"In the meantime, the good news is that stock levels are such that customer service can be maintained during this time and orders are welcome as usual."

Liz Lewis, regional industrial organiser with Unite, said: "I feel there are probably a number of products stockpiled and what the company is looking to do is to sell off that stockpile."

She questioned why key employees were being "allowed" to find work elsewhere.

Ms Lewis said she was "disappointed" that she had been unable to contact anybody at the company since it closed its doors.

Unite is due to hold a meeting with former workers at the British Legion in Johnstown on Friday to discuss redundancy payments.

On Thursday, a "company representative" said the firm had been bought by private investors who were "taking stock".

He denied there were any plans to asset strip the company, adding: "That's certainly not the case at all.

"As far as I can see there's not a single thing that's been moved from the place. There are no plans in place for that."