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  • Olympics Fiasco: G4S Profits Fall By A Third

    The company which failed to meet its Olympics security contract confirms a big fall in profits.

    Annual profits fell by a worse than expected 32% at G4S, the firm at the centre of last year’s Olympics security fiasco.

    Pre-tax profit for 2012 dropped to £175m from £257m the previous year as a result of a £70m loss on its contract to supply security personnel to the Olympic and Paralympic Games in London.

    The Armed Forces had to be called in to cover staff shortfalls when G4S admitted just ahead of the Games that it had failed to hire enough guards to cover its contract.

    It had been obliged to provide 10,400 people but managed to fulfil 83% of its contracted shifts.

    The failures led to chief operating officer David Taylor-Smith and Ian Horseman Sewell, who was head of global events, to quit their jobs while chief executive Nick Buckles remained in his post.

    Mr Buckles told MPs on the Home Affairs Select Committee in July that the staffing failure was a fiasco and a “humiliating shambles”.

    A report for G4S by auditors PwC found that monitoring and tracking of the security workforce was inadequate and that management failed to appreciate the scale and exact nature of the project.

    8:27am UK, Wednesday 13 March 2013

    Find this story at 13 March 2013

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