Affected By Carrilion?

[eggsarascal]

Surely the government must shoulder a big part of the blame?

 

They have been awarding Carrilion more and more contracts when they knew they were in financial difficulty.

[WesD]

3 minutes ago, eggsarascal said:

Surely the government must shoulder a big part of the blame?

 

They have been awarding Carrilion more and more contracts when they knew they were in financial difficulty.

A large part of any deal/contract also has to taken on good faith, there are only so many checks you can do on a company that isn’t yours and who’s to say any competitors lined up better?

 

I personally think these types of large contracts should be broken down into multiple small contracts that way if an egg breaks (pun intended) you still have more eggs in the basket but no chef is gona go through life without having an egg break. 

[5 shires]

2 minutes ago, WesD said:

A large part of any deal/contract also has to taken on good faith, there are only so many checks you can do on a company that isn’t yours and who’s to say any competitors lined up better?

 

I personally think these types of large contracts should be broken down into multiple small contracts that way if an egg breaks (pun intended) you still have more eggs in the basket but no chef is gona go through life without having an egg break. 

Well that's how it used to be in the good old days...the cheapest wasn't always the best....you need to look at the infrastructure and have a direct work force who work for you on the books and not subbed out and broken down to wafer thin margins.christ listen to me,I sound like Gordon Geko?

[aspenarb]

25 minutes ago, WesD said:

Who’s to blame for this happening?

I would say its the stockmarket and banks, Carillion had annual revenue of over £5billion and the banks/shareholders  enjoyed healthy returns until Carillion made reference to an £850 ish million  impairment charge inJuly of last year ( writing off dosh owed to the company)  . Chicken feed in the grand scheme of things but enough for the fairweather bankers and stock market to finish them off .

 

Bob

[difflock]

This is where I approve of the Chinese method.

If it is a big enough finiancial, or medical, or foodstuff  disaster that badly affects ordinary people.

Stage a trial and execute a few Senior Management.

Even if you execute the wrong ones, it certainly focusses the minds of others in similar senior positions.

mth

 

[eggsarascal]

21 minutes ago, WesD said:

A large part of any deal/contract also has to taken on good faith, there are only so many checks you can do on a company that isn’t yours and who’s to say any competitors lined up better?

 

 

Yes good faith does come into it but, would you sub out work to a company that you know could not fulfill that work because they are in financial difficulty?

 

Perhaps if Carillions competitors couldn't line up any better it proves that some contracts shouldn't be outsourced in the first place?

[Daniël Bos]

20 minutes ago, aspenarb said:

I would say its the stockmarket and banks, Carillion had annual revenue of over £5billion and the banks/shareholders  enjoyed healthy returns until Carillion made reference to an £850 ish million  impairment charge inJuly of last year ( writing off dosh owed to the company)  . Chicken feed in the grand scheme of things but enough for the fairweather bankers and stock market to finish them off .

 

Bob

But people were expressing worries about the company for way longer than that.

As far back as june 2016. But because the books were presented in such a way as to keep the stockholders happy, the company kept trading.

600 million worth of pension deficit doesn't just appear out of nowhere.

contractors have had their invoice terms changed to 120 days as far back as early spring last year. (killing some businesses)

Execs have been continually paid (including generous bonuses) right up till now.

 

Kneecap 'em and let them work on site till their late 70's I say!

[aspenarb]

23 minutes ago, Daniël Bos said:

But people were expressing worries about the company for way longer than that.

As far back as june 2016. But because the books were presented in such a way as to keep the stockholders happy, the company kept trading.

600 million worth of pension deficit doesn't just appear out of nowhere.

contractors have had their invoice terms changed to 120 days as far back as early spring last year. (killing some businesses)

Execs have been continually paid (including generous bonuses) right up till now.

 

Kneecap 'em and let them work on site till their late 70's I say!

Daniel I guess the pension fund was invested in the company shares and went down the pan last July. Happens all to often, I would like to see pension funds like this invested/secured in government bonds as a legal requirement.

 

Bob

[Khriss]

Its a shame realy as I got a lot of good work out of Carrilion way back when- however they have fallen into the state  Balfor Beatty did, grabbing huge contracts n doing shit work . If you fit rubbish shower units in a block of flats - yr in bother ...if you build a hospical n it falls down yr Fu.......... K 

[WesD]

1 hour ago, eggsarascal said:

Yes good faith does come into it but, would you sub out work to a company that you know could not fulfill that work because they are in financial difficulty?

 

Perhaps if Carillions competitors couldn't line up any better it proves that some contracts shouldn't be outsourced in the first place?

Maybe so but if the cost of outsourcing is cheaper than public sector and the checks are passed with a belief the company can fulfil the contract what do they do?

 

Last year there was a thread about TOs passing leads to the council lads who would then undercut the likes of you and I then when the numbers don’t stack up? Oh well we’ll increase council tax. 

 

Unfortunately no no system is perfect and not every business succeeds forever. (Woolworths to name an example)