Scarborough firm RR Engineering shifts to employee ownership model

RR Engineering, based at the Eastfield Industrial Estate, was set up more than 30 years ago by Roy Hendry and Russell Beck.

It is handing over 100 per cent of the business to its employees, joining the likes of John Lewis which is owned by its ‘partners’.

In a joint statement as managing directors, Hendry and Beck said: “It’s such a proud moment to be able to hand over RR Engineering.

“Selling the company we founded to our employees ensures the stability of the business for the long-term and supports our desire for further continued growth.

“This move recognises the value that our fantastic team has delivered over the years and it is a very exciting opportunity for each individual to take a pivotal role as the businesses progress.”

The company’s shares will now be transferred to an Employee Ownership Trust for the benefit of all its employees, who will take on new roles to oversee the day-to-day operations.

RR Engineering has established itself as a leading provider of sheet metal fabrication and design services at its 25,000 square feet factory site.

Tariq Javaid, a consultant involved in the move, said: “RR Engineering is a business exceptionally well-suited for employee ownership, being an organisation with a strong culture, firmly established values, and an emphasis on the quality of its products and its people.”

The Employee Ownership Association says more than 1,200 businesses have now adopted employee ownership and the sector has more than doubled in the past three years.