Kier today, July 18, said that it will cut 60 percent of workers in its residential division and reassured investors that it will meet full year expectations.
The company revealed that its order book was down 45 percent on the previous year, with home completions for the year down almost 19 percent to 1,438 homes.
However, it said that its operations across a range of areas in the construction sector had helped guard it against the downturn, which has so far been largely confined to the housing industry.
Support services remained in growth thanks mainly to its building maintenance arm, which services about 220,000 public sector homes throughout Britain.
It also won several new contracts and was one of the final two bidders for a £40 million-a-year contract in North Tyneside.
Kier said that it had seen "little evidence of a slowdown in the markets for construction and support services, both of which continue to perform strongly and have record order books."
Going forward, Kier said that it will ‘run a smaller, leaner operation in the future’ with a focus ‘shifting towards affordable housing and regeneration.’
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