Waste firm takeover saves half of the jobs

A takeover deal has saved more than half the jobs at a failed waste management company.

Waste firm takeover saves half of the jobs

Staff at the former Healy Waste Management firm in Cork, who had been staging a sit-in since its shock closure on Wednesday, called off their protest yesterday after receiving certain guarantees about the terms and conditions of the takeover.

Mallow-based Country Clean Recycling confirmed that it has secured the transfer of Healy Waste Management’s waste collection trade and assets. The deal will see 14 former Healy’s Blue Bins staff — 12 drivers and two office staff — transferring to Country Clean. Their current terms and conditions of employment will not change.

They were told that there are no legal implications for them except that they are now employees of Country Clean. However, Healy’s waste sorting facility on the Tramore Road will close with the lost of 11 jobs.

The deal, which followed hours of intense talks on Thursday, was announced to staff at a morning briefing.

In a joint statement afterwards, the companies urged Healy’s customers to leave their bins out for collection.

“We are working through the backlog. Collections should be back to normal early next week. All payments will be honoured,” said Country Clean’s financial controller Denis Murphy.

The companies did not disclose any financial details of the takeover.

Following several hours of negotiations with staff, the workers agreed to end the sit-in.

Sinn Féin Cllr Chris O’Leary, who had been supporting the workers, said it was good news for the 14 staff whose jobs have been saved.

“However, I will continue to help the workers whose jobs are gone through the social welfare process.”

Healy’s, established 40 years ago, announced voluntary liquidation on Wednesday after accumulating losses of some €2m.

Company director Aidan Healy, and his daughter and company managing director Nora, blamed increased operating costs, waste management charges, reduced business and overall poor trading conditions for the closure.

It will take up to three weeks to appoint a liquidator.

The pair said they tried “everything humanly possible” to keep the business going, but the business became unsustainable and just couldn’t continue to trade. They said they could not pay landfill charges last week and could not act as a going concern.

She insisted salaries of all staff have been paid fully up to date, as of Wednesday, and said the company will assist the liquidator to do everything possible to ensure all statutory entitlements will be paid at the earliest opportunity.

Country Clean is one of the country’s largest waste management and recycling firms.

Founded in 1990, and owned by David and Mary O’Regan, it began with a waste collection service in Shanballymore before expanding to provide a domestic waste collection service in the Mallow area.

The company took over nine waste collection companies between 1991 and 2003, and entered the waste skip market in 2003 by acquiring Cork Mini Skips in Churchfield.

It took over Cork City Council’s domestic waste collection service in 2011.

More in this section

Lunchtime News

Newsletter

Get a lunch briefing straight to your inbox at noon daily. Also be the first to know with our occasional Breaking News emails.

Cookie Policy Privacy Policy Brand Safety FAQ Help Contact Us Terms and Conditions

© Examiner Echo Group Limited