A last-minute deal has saved the jobs of Bluestone Group’s almost 4000 strong workforce after the administration of the labour hire business.
Craig Shepard and Mark Uebergang of KordaMentha were appointed voluntary administrators of the Australian Stock Exchange listed business on Tuesday.
Last night the administrators secured a deal between Bluestone and Hoban Recruitment as the preferred party to engage with the Bluestone Recruitment businesses.
Shepard said in a statement this means the “vast majority” of Bluestone’s 3500 on-hire staff and 180 employees will be back in work almost immediately.
Hoban is one of the largest privately-owned recruitment firms in Australia.
It is offering employment to all Bluestone branch office permanent staff and on-hire casual staff deployed in client sites.
Hoban will also offer a welfare and assistance program for the staff, including a no-interest loan facility for those affected by the administration.
Under the terms of the deal, Hoban gets access to all of Bluestone’s databases, records and domain names.
An agreement was also reached for more than 330 of Bluestone subsidiary ResCo’s workforce in the Hunter Valley of NSW to transfer to other labour hire companies.
Shepard said his primary objective has been to minimise disruption to clients, staff and candidates.
“This agreement will facilitate an orderly transition of employees and client contracts on a ‘business as usual basis’ which is particularly pleasing given the difficult circumstances,” he said in a statement.
Tony Beddison, chairman of Hoban, described the deal as “a good fit” for Hoban, staff and clients.
Cara Waters is the editor of SmartCompany. Cara was previously a senior reporter at the Financial Times website FT Adviser in London and has also worked for The Sunday Times.
