It has been confirmed that Elkay Electrical in Newtown will close by the end of the year, with up to 40 jobs being lost.
The announcement came in a letter from the Minister for Economic Development, Transport and Science, after senior managers of the company declined the Welsh Government’s offer to discuss further potential avenues of support, in a bid to try and save the Newtown facility.
The letter from Edwina Hart AM, states that officials have been made aware that staff in Elkay Electrical have now been issued with redundancy notices dated 31 December 2013.
Montgomeryshire AM, Russell George, who had previously written to Thomas and Betts, the parent company of Elkay Electrical offering his support, said he was ‘saddened’ by the news of the closure and that the impact would be ‘a blow’ to the local community.
“I am extremely saddened to hear the confirmation of the closure of Elkay Electrical; this is devastating news for everyone affected.
“This will be a particular blow to the community and on the run-in to Christmas, really doesn’t come at a worse time.
“I have kept in contact with the Economic Development Minister on this issue and she has informed me that her officials and Business Wales will continue to work with the company to support their employees as fully as possible.
“Discussions will now be continued with Careers Wales and other complimentary organisations, for example, Business Start Up to establish access to all relevant support.”
Local MP, Glyn Davies, also expressed his disappointment about the company’s closure. He added:
“It is very disappointing that the company is closing and I real feel for the staff that are being made redundant just weeks before Christmas.
“I also made an offer to meet with senior managers of the company and it is unfortunate that they didn’t take that opportunity to discuss with me, any further options that may have kept the business operating in Newtown.
“It is imperative now that Welsh Government officials do everything they can to help find new employment and training opportunities for all the staff effected.”