Workers at the Cloughmills-based road haulage firm Reid Transport near Ballymena, were forced into a virtual occupation of the company premises in order to ensure payment of wages and holiday pay and entitlement to redundancy, after being informed that the firm had been taken into administration with the loss of 200 jobs.
This was despite being earlier advised unequivocally by the managing director, Mr Liam Reid, that the company was not in trouble. In reality Reid Transport has been sinking under more than £3 million of debt since 2005, thus incurring more than £200,000 costs in annual interest alone!
Administration investigations showed that this had been the situation for the last few years of trading and recent attempts to sell off the business had, unsurprisingly, not been fruitful.
In a commendable show of strength and solidarity the non-unionised workforce organised a blockade of the entrance to the company’s premises from Wednesday the 21 November when they were given notice of the situation.
The picket was maintained until the 6 December when, after protracted negotiations with the management, the workers were assured that their owed wages would be paid and redundancy payments would be processed by Christmas.
As a result of the collapse and the subsequent attention on their business practices, Reid is now being investigated by the PSNI for breaching child labour laws after it emerged that a 14-year old school boy had worked there for up to five nights a week. Other allegations of misconduct by the company, such as workers having to work 70 hour weeks, are also being examined.
It is suggested that with rising fuel and credit costs many of the smaller operators in the haulage market may not survive the next year. The spiralling cost of oil, due partly to the ongoing occupations in the Middle East and the end of cheap loans resulting from the recent “credit crunch”, are manifestations of the problems inherent in the global capitalist system. This crisis looks set to intensify over the course of the year and the effects will be felt by many working people.
This episode of workers forced into struggle for their rightful entitlement is a great example to other workers who find their jobs, wages and conditions under attack.
All assets owned by this family firm, including property and related interests, (Reid Motorsport is also managed by Liam Reid) should be taken into public ownership by the Assembly so steady employment can be provided for people in the area. But instead of being run by the same incompetent management, it should be democratically run by representatives of the workforce, unions and local community.