RMJM voices regret for salary delays

Architect RMJM has voiced “extreme regret” for its repeated failure to pay staff on time.

As Building reported earlier this month, the cash-strapped firm, ranked the 13th largest architecture practice in the world, delayed staff salaries by several days in January and December and has also been hit by a number of court judgments over money owed to creditors including one worth £50,000 made this month at Northampton County Court, which has now been paid.

The firm’s former star designer Paul Stallan, who resigned on January 18th, told Building last week that he had rarely been paid on time in the last three to four years and said salary problems were “causing all sorts of hardships” for staff.  

A spokesman for RMJM, which is led by chief executive Peter Morrison, said: “It’s extremely regrettable that, in common with many other firms throughout the world, some of our clients are themselves facing challenging times, leading to delays in the settlement of invoices.

“This has a knock-on effect on cashflow and we’ve made no secret of the fact that we have, on several occasions, been forced to delay salary payments. This is not a step we have taken lightly, but when it is necessary the forbearance and professionalism shown by our staff is hugely appreciated.

“We are currently involved in ongoing negotiations with a small number of significant clients regarding the settlement of their invoices and are hopeful that we will be in a position very soon to announce a major, positive development in this regard.”