Staff at EV Metals Group鈥檚 Teesside operation say they fear for the future of their jobs after failing to be paid by the company鈥檚 new owners.
It is understood around 25 members of staff are based at the firm鈥檚 Billingham battery plant, all of whom expected monthly pay packets to go into their bank accounts last week. However they say they were told by management through a video meeting on Friday that they couldn鈥檛 pay the employees, while also telling them they couldn鈥檛 say when the issue would be resolved.
Frustrated staff at the plant say they have not returned to work since last week鈥檚 meeting and are 鈥渦pdating their CVs鈥, while also worrying they won鈥檛 be able to meet mortgage, rent and bill payments. EV Metals Group bosses have sought to allay workers鈥 fears, saying this is just a short term issue.
Read more: Quotient Sciences creates 100 new jobs fresh from multimillion-pound plant expansion
Australian headquartered EV Metals Group took over the Chilton plant on Belasis Avenue 鈥 the former Johnson Matthey鈥檚 battery materials business 鈥 as part of a 拢50m deal last May, a few months after Johnson Matthey had told staff they planned to close the division.
EV Metals Group swooped for the Teesside site in a deal which saved around 100 technical jobs and included the battery technology centre, together with its pilot plant and research laboratories, as well as Johnson Matthey鈥檚 battery divisions in Oxford, Germany and one under construction in Poland. At the time, the new owners said they hoped to announce further recruitment after snapping up the business.
In an email sent to staff this week, seen by The Gazette, directors said they had hoped wages to be paid on Wednesday, but that 鈥渦nfortunately, there has been a further delay in payments, and at this stage I cannot confirm which day this payment will be made. However, I can confirm that funds are in the banking system and being processed. I am confident that payment of your wages and pension contributions will be made in the coming days.
鈥淚 appreciate this is a very difficult situation for you, for which I apologise again. If you will suffer financial hardship because of this, please contact the HR team Immediately so we can explore the options avallable to support you.鈥
A member of staff, who wished to remain anonymous said: 鈥淏asically we feel that we won鈥檛 be going back. Employees here and at our Oxford site are filled with uncertainty as to how we are to not only fulfil our financial commitments this month but also our job security going forward and the prospect of unemployment. We鈥檙e all getting our CVs updated and hoping the debtors don鈥檛 come to our doors.鈥
A spokesman for EV Metals Group said: 鈥淭he company confirms that it has experienced a short term issue resulting in delayed payments. We are urgently addressing this, expect it to be resolved very shortly and are keeping employees constantly updated.
On Friday, March 31, the company spokesman added: "The Company confirms that the issue has been resolved, and employees have received their salaries."
READ NEXT