More jobs to go as bosses fail to save Premier Precision Engineering
Premier Precision Engineering, based in Rolling Mill Road Jarrow, is expected to shut its doors in the next month after suffering a slump in sales.
The company, which was set up in 1994 and supplies precision machine components to the oil and gas industry, has cited a fall in oil prices for its financial difficulties.
The firm announced in October that it had entered into consultation with its then 70-strong workforce over its future.
At the time, bosses said they were trying to keep production going and insisted they were ‘very proud’ of their workforce.
It is believed that between 25 and 30 workers remain in their posts following a raft of job losses at the end of last year - but they will also lose their jobs once current customer orders are completed.
A company spokesman blamed the ‘economic circumstances’ of the sector they work within for the ‘sad’ closure.
The spokesman said: “It is a sad situation and is unfortunately due to the economic circumstances of our sector.”
The spokesman declined to comment further on the impending closure.
The news is another blow for the borough’s business community – particularly for workers in Jarrow.
Essentra, a global filter product provider for the tobacco industry, closed its site on Bede Industrial Estate, Jarrow, in January – with more than 200 workers losing their jobs.
The company, which has been an integral part of the town’s economic landscape since 1948, cited a fall in cigarette sales in mainland Europe for the decision.
Family-owned H Mullins (Earby) Ltd, of Western Road, Jarrow, a long-standing supplier for the defence industry, which once made parts for the iconic Spitfire fighter plane, shut down last summer after more than 70 years in the town.
The Shell UK oil terminal in Priory Road, Jarrow, also closed last July after more than 50 years of operation.