Subcontractor Carillion builds and maintains hospitals and prisons, provides services throughout the UK government and employs 20,000 people in Britain. But it has debts of 1.5 billion and only 60 million in cash.
ADVERTISEMENTThe British government has announced a special task force is to oversee the bankrupt concerns of services group Carillion. The company's 43,000 employees, 20,000 in Britain, provide vital support for many public services, including in the health and prison services, and the armed forces.
Carillion is an example of British public services which were sold off and privatised, and then went on to generate profits for shareholders and expand and diversify. Except that the Wolverhampton-based firms' master plan has left it 1.5 billion euros in the red, and a taxpayer rescue is going to cost an astronomical amount of money.
Some have been quick to point out that Carillion refused to recognise trade unions, plundered its pension fund by 600 million while increasing executive pay, and for donating to the Conservative party was rewarded with juicy contracts it is now failing to honour. Yet the company expects taxpayers, through the government to bail it out.