Nortek Global HVAC (UK) Ltd has confirmed the closure of Eaton Williams.
The company closed its doors and ceased production at its Edenbridge site on 30th September. All employees will leave the business on 30th November. Production in Stoke-On-Trent also ceased on 30th September, both production plants will close their doors for good on 30th November. A new smaller facility will remain open in Tonbridge close to the current Edenbridge site.
It is anticipated there has been a total of 110 job losses and approximately 20 employees have transferred to roles within Nortek. A number of employees have transferred to other business units under TUPE and have taken employment in alternative departments within Nortek Global HVAC (UK) Ltd.
Distribution and manufacturing will move to the West Midlands, to Nortek’s manufacturing plant in Brierley Hill for Process Cooling and VAPAC sales. VAPAC production will continue in Poland as usual.
The VAPAC and ServerCool brands will remain and become part of the Nortek family alongside AmbiRad, Reznor, Benson, Airbloc and Nordair Niche.
Eaton Williams became an affiliate of the Nortek Global HVAC (UK) Limited umbrella in 2015. Leading up to this point, Eaton Williams was an affiliate of Nortek Air Solutions, LLC, formerly known as CES Group, LLC. Nortek Global HVAC currently owns successful manufacturing facilities in the UK and the change of hands was intended to assist Eaton Williams in improving operation costs and financial performance. While losses have improved since the transition, the business continues to fall short in both sales and profit, making it difficult to continue as a Limited Company.
The Eaton Williams closure was approved by Nortek and confirmed by Melrose as the decision was made during the sale process.
Simon Parker, VP and General Manager Nortek Global HVAC Europe said: “It is with regret and despite every effort over the last 18 months the Eaton-Williams Group Ltd business will close on 30 November 2016. The Leadership Team and employees both at Eaton Williams and Nortek Global HVAC UK Ltd have worked exceptionally hard to turn the business around but the losses became unsustainable”.
He continued: “I am pleased to say that two of the product lines VAPAC and Process Cooling will transfer to Nortek Global HVAC Ltd together with approximately 20 employees. The remaining employees are being made redundant and will receive full outplacement support. Many of the employees have considerable service and we wish to thank them for their support during this difficult time.
The VAPAC and ServerCool businesses have a very positive future and we hope their growth will serve as a legacy to the Eaton Williams business.”