A New Plymouth drilling company has shut its doors on 25 staff this morning and a construction company has signalled it may close its Taranaki branch with the loss of 37 jobs.
Central Directional Drilling Ltd's 25 employees may be the latest victim of Australian contractor Transfield Services' inability to pay its contractors on time.
General manager Duane Leggett said the company had downed tools because of financial hardship but would not comment further.
The company has been involved in the installation of fibre-optic cable for the ultrafast broadband intiative.
However, a worker, who wanted to remain anonymous, told the Taranaki Daily News it was a shock to have lost his job this morning.
He claimed the company's financial strain was a result of not being paid on time by Transfield Services.
Just a workers at the drilling company were finding out their jobs were gone, 37 employees at New Plymouth's Fletcher Construction branch were told theirs could also be axed.
Fletchers building and interiors general manager Greg Pritchard said the changing nature of commercial construction projects across the central region has prompted them to consider refocus its activities out of its existing regional offices in Hamilton and Wellington.
He said the branch closure proposal reflected both the nature of work available in the Taranaki region and the shift to focusing project support from Wellington and Hamilton.
- © Fairfax NZ News
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