Dozens of jobs lost as firm goes under
A car parts distributor has closed with the loss of 42 jobs.
Quinton Hazell Automotive, in Hinckley, ceased trading yesterday after the business and its parent company, Klarius Group, went into administration.
The redundancies at the site in Logix Park, off the A5, come after a fall in trade led to financial problems.
A spokesman for administrators KPMG said they had been unable to find a buyer for the business, but confirmed jobs had been safeguarded at another part of the company in Cheadle, Staffordshire.
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Councillor Stuart Bray, leader of Hinckley and Bosworth Borough Council, called the job losses "tragic".
He said: "It is very sad for the people losing the jobs and they have my thoughts and sympathies.
"I hope they can find alternative employment and they are welcome to come and talk to the council's response team about finding jobs and access to benefits."
Coun Bray said there were some positive business stories in the area, with many examples of businesses expanding and creating jobs in the borough.
"I think it's very much a mixed bag in Hinckley," he said. "We are hearing cases of companies like this going under, yet there are others which are expanding, such as MIRA."
Leicestershire Chamber of Commerce chief executive Martin Traynor said: "This is very sad news for the people who were employed at the company and just shows we are bumping along the bottom when it comes to economic growth.
"However, in manufacturing and the motor industry we are seeing a revival.
"I do feel those people who have lost their jobs and have skills relevant to the businesses which are expanding, should be able to find work relatively easily."
Paul Flint, joint administrator and associate partner at KPMG, said: "We are pleased to announce the sale of the Cheadle site – saving 234 jobs. Despite marketing the remaining divisions for sale, we were unable to find a buyer."
KPMG said it was helping affected staff to claim redundancy payments.
At the start of the year, another car parts manufacturer, Schegel Automotive, of Coalville, shut down with more than 300 jobs lost.