Shutdown: workers "gutted" as council decides to cut funding to factory (From Bournemouth Echo)
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Shutdown: workers "gutted" as council decides to cut funding to factory
8:36am Thursday 10th January 2013 in News
The team at Dorset Enterprises
A FACTORY that provides employment to disabled people is set to close in just two months.
Dorset Enterprises, in Elliott Road, Bournemouth, is likely to close at the end of March after Bournemouth council decided it could no longer financially support the loss-making operation.
Efforts to find a partner organisation to take over the operation of the factory have been unsuccessful, although the council has promised to continue trying to find a new operator after the site closes.
It has also pledged to try and redeploy staff where possible.
But the news is a massive blow to the site’s 23 workers, 19 of whom have a disability.
Yesterday, upset workers said they were “gutted” at the prospect of being made redundant in just 10 weeks’ time.
Factory manager Paul White, who has worked there for 16 years, said staff would be looking to table their own proposal to try and salvage some of the business but said the council needed to be “realistic” and support them in their bid.
“We will do our best to save at least some of it, if we possibly can,” he said.
“But we would be relying on the goodwill of the council when it comes to negotiations.”
Although best known for making deckchairs, Dorset Enterprises also offers free work experience and training to local pupils, including many from special schools.
A report going to cabinet members next Wednesday says the company has averaged losses of almost £471,000 per year over the last three years.
It adds there is no reasonable expectation the financial position will improve and claims potential new owners have been deterred by the requirement to keep staff on existing terms and conditions.
Kinson South Cllr Ben Grower, leader of the Labour group, said closing Dorset Enterprises was nothing more than a “cost-cutting exercise. They say they’ve been trying to save it but they’ve made very little effort,” he said.
“It’s a matter of saving money and as a consequence people are going to lose their jobs.
“Nobody will come in and use the site to employ disabled people. It’s not set up to make a profit, it’s there to provide a necessary service.”
But Cllr Blair Crawford, the Conservative cabinet member for adult social care, said: “It is regrettable that a viable solution has not been available to keep the Dorset Enterprises factory open but the losses are just too great to keep this facility going in its current form.
“Similar support employment factories across the UK have closed over recent months for the same reasons.
“However, the council remains committed to supporting adults with disabilities to gain or retain paid or voluntary employment which is why we are seeking one or more partner organisations to take on the site and start a new enterprise, or even a range of business opportunities, offering supported employment,” Cllr Crawford added.
Instructor Alan Stratman, who has worked there for 20 years, said: “There is a lot we can do and offer here but we have not been used to our full potential.
“Perhaps the council should have sat down earlier and worked out what direction we should be going in. I feel really let down.
“We have put the effort in and all they have done is just let things dwindle and hope for the best.”
Chargehand Bob Bingham, an employee of 16 years, said: “I’m gutted. It’s going to be difficult for many of the people here to find another job.
“I think we have been poorly managed by the council. We have often wondered why we have not been asked to make things like park benches and internal doors for council houses. We could do that but they are not interested.”
Robert Webster, an employee of 21 years, said: “I can see this place could be turned around but talks with private businesses have collapsed. Now we don’t know what will happen to Dorset Enterprises."
“I had nothing to do before I started work here. I would like to find another job but I don’t know whether I will. It all depends on how much help is available from the council.”
Comments(39)
uvox44
says...
9:17am Thu 10 Jan 13
Azphreal
says...
9:31am Thu 10 Jan 13
speedy231278
says...
9:32am Thu 10 Jan 13
Ziggy starburst
says...
9:35am Thu 10 Jan 13
uvox44 wrote:Spot on. I can't resist scrolling down to see the usual echo reader ill informed spite. Always makes me laugh, but your comment was refreshing among the usual stuff. Real shame a few more decent people are being added to the scrap heap by an incompetent overpaid manager.
Just shows that the government would rather pay for people to be out of work than in it- then it can also stir up prejudice against them for being "scroungers" and "workshy" - whilst letting the big multinationals avoid millions in tax and bailing out the banks with OUR money- the rich are too big to fail and the poor are too small to succeed.
elite50
says...
9:41am Thu 10 Jan 13
The factory manager now wants to talk about what can be done. If he had pushed what should have been done three years ago maybe this would not be at the stage that it is.
The charge hand knows what needed to be done but has not been listened to.
It seems that the comfort zone took over.
One enterprising "go getter" could turn this around.
People need leadership, not negativety.
pete woodley
says...
9:56am Thu 10 Jan 13
steveatbournemouth
says...
10:03am Thu 10 Jan 13
step up
says...
10:07am Thu 10 Jan 13
elite50 wrote:As always lets target the weakest to balance the works. Lets not worry about the human aspects of feeling worthwhile and contributing despite a disability....having a reason to get up in the morning having been rejected by mainstream employers. Just throw people on the scape heap probably to never work again. Become despressed, more ill and a greater burden on the state. Weve still got a totally unnecessary and expensive Chief Executive and a Mayor though havent we? And I have heard of any trimming down of the senior staffing levels in Bournemouth Borough Council Social services department (unlike Poole). The way Bournemouth Borough Council treats the disabled of the town as an unecessary expence and draw on towns resources. £26k per worker per annum? Peanuts compared to millions scandered on failed vanity projects. And what do you think the cost will be on income support etc? No Chief Executive would cover cost of five of those peoples lives and the Mayor how many more? Business as usual for the snouts in the trough Tory brigade...recession, depression for the rest of us. Does the seat in the Mayors car get warm automatically for him before he gets in?? Just wondered..
This looks like a classic case of a factory in a forgotten corner being allowed to drift into a hole.
The factory manager now wants to talk about what can be done. If he had pushed what should have been done three years ago maybe this would not be at the stage that it is.
The charge hand knows what needed to be done but has not been listened to.
It seems that the comfort zone took over.
One enterprising "go getter" could turn this around.
People need leadership, not negativety.
boyerboy
says...
10:09am Thu 10 Jan 13
step up
says...
10:15am Thu 10 Jan 13
Redgolfer
says...
10:16am Thu 10 Jan 13
step up wrote:My seat in my car warms up nicely thank you when you flick the switch, so its just not the Mayor's car, but I do agree with all other aspects of this POST.
elite50 wrote:As always lets target the weakest to balance the works. Lets not worry about the human aspects of feeling worthwhile and contributing despite a disability....having a reason to get up in the morning having been rejected by mainstream employers. Just throw people on the scape heap probably to never work again. Become despressed, more ill and a greater burden on the state. Weve still got a totally unnecessary and expensive Chief Executive and a Mayor though havent we? And I have heard of any trimming down of the senior staffing levels in Bournemouth Borough Council Social services department (unlike Poole). The way Bournemouth Borough Council treats the disabled of the town as an unecessary expence and draw on towns resources. £26k per worker per annum? Peanuts compared to millions scandered on failed vanity projects. And what do you think the cost will be on income support etc? No Chief Executive would cover cost of five of those peoples lives and the Mayor how many more? Business as usual for the snouts in the trough Tory brigade...recession, depression for the rest of us. Does the seat in the Mayors car get warm automatically for him before he gets in?? Just wondered..
This looks like a classic case of a factory in a forgotten corner being allowed to drift into a hole.
The factory manager now wants to talk about what can be done. If he had pushed what should have been done three years ago maybe this would not be at the stage that it is.
The charge hand knows what needed to be done but has not been listened to.
It seems that the comfort zone took over.
One enterprising "go getter" could turn this around.
People need leadership, not negativety.
BmthNewshound
says...
11:28am Thu 10 Jan 13
.
Bournemouth Council has demonstrated a callous attitude towards the provision of services to some of the most vulnerable people in our society. At the same time they squander £millions on vanity projects and are now even considering risking £millions more on speculative property development in a pathetic attempt to rescue Beesley’s failing Town Centre Vision regeneration project.
.
I think that before closing Dorset Enterprises the Council should investigate whether it could be operated using a similar model to the CRUMBS project and Cherry Tree Nursery. Both of these charities survive on a combination of generating revenue from their trading activities, fund raising and grants from the Council, National Lottery and various Trusts.
Ebb Tide
says...
11:31am Thu 10 Jan 13
step up wrote:Whilst it is accepted that money has an influence on decision making, politics is much more about "people" (particularly vulnerable people) than "procedural correctness".
P.S. Does Conor Burns have anything to say about what happens to the weak of this town who he is supposed to represent?? The vulnerable ? Is he not the MP for Bournemouth? What was he elected for? Just to swan up and down to London to pursue is own interests? Anything to say about this rotton Tory council and its rotton selfserving decisions?? Hello anybody there???
It would seem that certain book-keeping methods have distorted matters (affecting the vulnerable but keen employees at Dorset Enterprises) and such distortions should now be corrected urgently.
The answer to the question posed by Speedy231278 must be made available. The public should now know what overheads are expected to be carried by the affected workforce and the reason why such overheads cannot be reduced.
Justin666
says...
12:01pm Thu 10 Jan 13
Brock_and_Roll
says...
12:54pm Thu 10 Jan 13
I presume that each disabled person was earning much less than that £26k so the losses per head are actually higher than their wages.....so in crude terms, it would be cheaper to give them a hefty pay rise and pay them to stay at home than it would be to continue to run this "business".
I am not suggesting that of course, but I am sure the council could provide financial incentives to private sector firms to take these people on, and use our money more efficiently.
I don't think politics cones into this at all. If the losses were £50k, £100k or £500k per person do you think it would still make sense to keep the business running? Of course not.
l'anglais
says...
1:25pm Thu 10 Jan 13
Why didn't those who decided that this venture wasn't economically sound today, not make the same judgement after year 1 loss of 1/2 a million and year 2 loss of £1 million.
Once again the poorest amongst us suffering due to middle managements inept decision making.
BIGTONE
says...
1:36pm Thu 10 Jan 13
pete woodley
says...
2:02pm Thu 10 Jan 13
ragj195
says...
2:21pm Thu 10 Jan 13
steveatbournemouth wrote:What are you talking about? The council aren't going to build an ice rink. They were simply allocating land for potential development by a private firm. Sort it out.
All those calling for an Ice Rink being built by the Council should think again as these people haven't got a job now, how can we afford a Rink????
Justin666
says...
2:27pm Thu 10 Jan 13
I am sure that there are enough qualified retired people in Bournemouth who would be able to offer voluntary service on this provided that the MP ensured that as an official enquiry full access would be given to those appointed to undertake the investigation. If nothing else, this may prevent similar occurences in the future and will not cost the Council any money.
rozmister
says...
3:04pm Thu 10 Jan 13
steveatbournemouth wrote:So if we can't afford to keep open a LOSS MAKING factory we shouldn't build leisure facilities that create jobs and provide some thing for families to enjoy?
All those calling for an Ice Rink being built by the Council should think again as these people haven't got a job now, how can we afford a Rink????
The two are completely separate and don't worry discussing in the same breath. The money used to fund this factory will not be spent on the ice rink (which will be run or at least built by a private developer probably) and funding for the ice rink planning will come out of a different budget to the factory anyway.
What a ridiculous post.
rozmister
says...
3:05pm Thu 10 Jan 13
Molecatcher
says...
3:44pm Thu 10 Jan 13
£471K... A mere drop in ocean in comparison to some of this council's more visible loss making ventures. At least this one is a worthwhile cause that allows the employees there to have some dignity in their endeavours.
This is the council yet again proving what a complete and utter shower they are.”
speedy231278
says...
3:51pm Thu 10 Jan 13
Also, so what if it's 'only' £471K a year lost. It's still £471K. If it were a private company, the receivers would have been in years ago. I wonder how much of this 'loss' is simply snouts in troughs, and now they've been rumbled by a higher authority?
EGHH
says...
4:32pm Thu 10 Jan 13
muscliffman
says...
4:39pm Thu 10 Jan 13
The expenses and losses claimed for this small enterprise do not stack up, I sense a Town Hall fat-cat or two has been at the trough.
Remind us again though please, what have the Council spent in recent years on failed projects, vanity projects and keeping their Officers in the unaccountable and grand style to which they have become accustomed.
pete woodley
says...
5:05pm Thu 10 Jan 13
muscliffman wrote:Including being overpaid.
I am not keen on the political point scoring here, although this should not have happened.
The expenses and losses claimed for this small enterprise do not stack up, I sense a Town Hall fat-cat or two has been at the trough.
Remind us again though please, what have the Council spent in recent years on failed projects, vanity projects and keeping their Officers in the unaccountable and grand style to which they have become accustomed.
West Howe Sean
says...
5:49pm Thu 10 Jan 13
We (the council tax payers) should be holding the council to account.
There are so many issues this throws up. But surely the first thing is to put the people employed at Dorset Enterprises first.
Let it operate as an independent charity with a £250,000 cash grant for the next 3 years. I'm sure it could survive. and save the council £220,000 according to it's figures.
Ebb Tide
says...
5:52pm Thu 10 Jan 13
pete woodley wrote:Hence my call for a clear understanding of what 'overheads' the workers at Dorset Enterprises were (are !!) expected to carry.
muscliffman wrote:Including being overpaid.
I am not keen on the political point scoring here, although this should not have happened.
The expenses and losses claimed for this small enterprise do not stack up, I sense a Town Hall fat-cat or two has been at the trough.
Remind us again though please, what have the Council spent in recent years on failed projects, vanity projects and keeping their Officers in the unaccountable and grand style to which they have become accustomed.
brentmeister
says...
6:31pm Thu 10 Jan 13
Ayles 10
says...
7:47pm Thu 10 Jan 13
Surely a business, whether there to employ able bodied or disabled people (what's the difference, we're all here to do a job) has to make a profit to survive. If its not making a profit, its down to the management, not employees, who no doubt give their all in a working day. A good manager could turn this business around in no time if they have a decent business plan.
elite50
says...
10:25pm Thu 10 Jan 13
step up wrote:As previously stated, people need leadership, NOT negativety!
elite50 wrote:As always lets target the weakest to balance the works. Lets not worry about the human aspects of feeling worthwhile and contributing despite a disability....having a reason to get up in the morning having been rejected by mainstream employers. Just throw people on the scape heap probably to never work again. Become despressed, more ill and a greater burden on the state. Weve still got a totally unnecessary and expensive Chief Executive and a Mayor though havent we? And I have heard of any trimming down of the senior staffing levels in Bournemouth Borough Council Social services department (unlike Poole). The way Bournemouth Borough Council treats the disabled of the town as an unecessary expence and draw on towns resources. £26k per worker per annum? Peanuts compared to millions scandered on failed vanity projects. And what do you think the cost will be on income support etc? No Chief Executive would cover cost of five of those peoples lives and the Mayor how many more? Business as usual for the snouts in the trough Tory brigade...recession, depression for the rest of us. Does the seat in the Mayors car get warm automatically for him before he gets in?? Just wondered..
This looks like a classic case of a factory in a forgotten corner being allowed to drift into a hole.
The factory manager now wants to talk about what can be done. If he had pushed what should have been done three years ago maybe this would not be at the stage that it is.
The charge hand knows what needed to be done but has not been listened to.
It seems that the comfort zone took over.
One enterprising "go getter" could turn this around.
People need leadership, not negativety.
muscliffman
says...
11:03pm Thu 10 Jan 13
Ayles 10 wrote:Quite possible. But take away this single responsible and accountable busniness Manager ideal (probably also taking their own risk) and replace them with Bournemouth Council and their Officers.
I've avoided reading previous comments, due to the (few) posters on here that are just here to gain a reaction and to generally annoy everyone.
Surely a business, whether there to employ able bodied or disabled people (what's the difference, we're all here to do a job) has to make a profit to survive. If its not making a profit, its down to the management, not employees, who no doubt give their all in a working day. A good manager could turn this business around in no time if they have a decent business plan.
Point taken?
pete woodley
says...
11:06pm Thu 10 Jan 13
Ayles 10 wrote:Is it meant to make a profit ?.
I've avoided reading previous comments, due to the (few) posters on here that are just here to gain a reaction and to generally annoy everyone.
Surely a business, whether there to employ able bodied or disabled people (what's the difference, we're all here to do a job) has to make a profit to survive. If its not making a profit, its down to the management, not employees, who no doubt give their all in a working day. A good manager could turn this business around in no time if they have a decent business plan.
pete woodley
says...
11:07pm Thu 10 Jan 13
Ayles 10 wrote:Is it meant to make a profit ?.
I've avoided reading previous comments, due to the (few) posters on here that are just here to gain a reaction and to generally annoy everyone.
Surely a business, whether there to employ able bodied or disabled people (what's the difference, we're all here to do a job) has to make a profit to survive. If its not making a profit, its down to the management, not employees, who no doubt give their all in a working day. A good manager could turn this business around in no time if they have a decent business plan.
MDHgggggg
says...
1:24am Fri 11 Jan 13
One of first choices made was to get rid of the only marketing person. However, all able bodied admin staff were retained. So get rid of the only revenue generator and retain all the overhead? Good sound commercial decision no1.
Dorset enterprises used to make toys, there was a problem with the quality of some of toys, paint came off, which understandably needed to be addressed and corrected - right - the solution - stop making the toys and thus reduce the product range. Good decision no2.
On several occasions agency staff were employed, they were more expensive. Adding to the overhead and they also took jobs away from the normal staff. Who were left on several occasions with not enough to do. Totally 100% in line with the raisin d'être of the organisation - not. Good Decision no3.
Dorset enterprises has several very expensive, high tech CAD/CAM machines which can machine wood to any number of shapes. They have the capability to make all sorts of stuff. Many suggestions have been made by the staff many times, to expand the range. All refused by the council. Just think of how many simple wooden shapes you can buy in the shops nowadays! Good Decision no 4.
These are just a few of the things that I am aware of which have contributed to this situation - no doubt there are many more of which I am unaware.
The council obviously knows precisely how to run a company into the ground. One could think that they had an agenda in place for a few years to shut the company and congratulations this has been 100% successful.
I know what the staff get paid, not much, certainly not 20k each, I also know that their salary is subsidised by the govt. which makes the £471k loss even more puzzling.
The company was not intended to make a profit that is not why it was created; however, it should not need to make such a huge loss each year. The sole reason that it does is because it has been completely misdirected and mismanaged by Bournemouth council which is totally tourism focused and which does not see any benefit nor understand any commercial activity outside of that sector.
Bournemouth council should be ashamed of themselves - what sort of an example do they set for the rest of society. They don't care what happens to these employees. They don't have to worry about that; they are ok inside the cosy index linked public sector -why would they care about those employees - the most vulnerable o/s in the private sector?
Ayles 10
says...
8:14am Fri 11 Jan 13
pete woodley wrote:Why not? Had they made a profit, the employees would not be losing their jobs and it would give them a huge boost. I know of a fantastic Company in Oxford who employ people with learning difficulties, they are doing incredibly well & have been for several years. There is a profit share scheme in place, so everyone benefits from their own hard work.
Ayles 10 wrote:Is it meant to make a profit ?.
I've avoided reading previous comments, due to the (few) posters on here that are just here to gain a reaction and to generally annoy everyone.
Surely a business, whether there to employ able bodied or disabled people (what's the difference, we're all here to do a job) has to make a profit to survive. If its not making a profit, its down to the management, not employees, who no doubt give their all in a working day. A good manager could turn this business around in no time if they have a decent business plan.
skydriver
says...
6:38pm Wed 16 Jan 13
Redgolfer wrote:Why does the mayor need a company car what's wrong with his own, at 24p per mile that would save a load of cash, I guess there is a driver as well, er why , what's wrong with a taxi???
step up wrote:My seat in my car warms up nicely thank you when you flick the switch, so its just not the Mayor's car, but I do agree with all other aspects of this POST.
elite50 wrote:As always lets target the weakest to balance the works. Lets not worry about the human aspects of feeling worthwhile and contributing despite a disability....having a reason to get up in the morning having been rejected by mainstream employers. Just throw people on the scape heap probably to never work again. Become despressed, more ill and a greater burden on the state. Weve still got a totally unnecessary and expensive Chief Executive and a Mayor though havent we? And I have heard of any trimming down of the senior staffing levels in Bournemouth Borough Council Social services department (unlike Poole). The way Bournemouth Borough Council treats the disabled of the town as an unecessary expence and draw on towns resources. £26k per worker per annum? Peanuts compared to millions scandered on failed vanity projects. And what do you think the cost will be on income support etc? No Chief Executive would cover cost of five of those peoples lives and the Mayor how many more? Business as usual for the snouts in the trough Tory brigade...recession, depression for the rest of us. Does the seat in the Mayors car get warm automatically for him before he gets in?? Just wondered..
This looks like a classic case of a factory in a forgotten corner being allowed to drift into a hole.
The factory manager now wants to talk about what can be done. If he had pushed what should have been done three years ago maybe this would not be at the stage that it is.
The charge hand knows what needed to be done but has not been listened to.
It seems that the comfort zone took over.
One enterprising "go getter" could turn this around.
People need leadership, not negativety.
Brock_and_Roll says...
9:11am Thu 10 Jan 13
I am sure it would cost the council much less per employee to incentivise/subsidis
e each worker in other private sector employment - in fact I guess they could pay their entire wages and still save money compared with bearing the current losses.