WORKERS left despondent after a County Durham engineer cut jobs are still waiting for severance pay weeks after their departure, it has been claimed.

Around 90 people at Grorud were left without work last month in a restructure following changes to a customer agreement.

According to one ex-worker, staff have yet to receive any redundancy package.

Bosses at the business, based near Consett, last night declined to comment.

However, the former worker, who wished to remain anonymous, said the situation was becoming increasingly worrying, with no sign of an imminent answer from officials.

He also claimed Grorud had failed to conduct a 30-day consultation period, though the Echo is aware letters went out to staff about the business’ restructuring.

He said: “It is almost four weeks since people were made redundant but none of us are any closer to receiving the severance pay we are entitled to.

“Every time we contact Grorud we just get told, ‘we will let you know as soon as possible’.

“This isn’t good enough; people have bills to pay.”

The business, which at one point employed more than 100 people, is known for providing services for the healthcare and automotive sectors, with customers including Sunderland-based car maker Nissan.

Its operations encompass metal pressing, pre-production, including design and prototype work, and electrophoretic coating, which applies anti-corrosion protection to a range of components.

One worker previously told the Echo he understood the changes, which have affected areas such as the tool shop and press shop, were a response to car parts firm Takata dropping Grorud from its supply list.

Takata, which is still listed on Grorud’s website as a client, last month agreed to pay a $1bn fine for concealing dangerous defects in its exploding airbags, and has since set up a steering committee to deliver a restructuring plan.

However, the Echo understands Takata’s decision was not a direct response to the fine.

Last year, bosses at Grorud, which was founded in the 1950s, said it was primed for growth after a 2015 buyout had created jobs.

At the time, officials said a management restructure left it well positioned to build on its history, adding new shop floor practices had strengthened production and opened doors for new contracts.