Taylor Wimpey construction resumes as employees return from furlough

Taylor Wimpey construction resumes as employees return from furlough

FTSE 100 construction company Taylor Wimpey showed its desire to return to business as usual, as it announced gradual returns to regular construction work alongside some areas of healthy activity.

The company said that the entirety of its staff had returned from furlough, while the majority of its English and Welsh sites had resumed regular construction work. It added that its Scottish sites were preparing to resume construction in line with Scottish Government guidance.

It continued, saying that the ‘majority’ of its show homes and sales centres were open in England on an appointment basis, with these appointments achieving a ‘very high level’ of demand.

Regarding its performance, Taylor Wimpey stated that it was ‘active’ in the land market, and that it had begun exchanging on a number of sites. It added that its order book remained strong and that reservations had seen a healthy increase in recent weeks.

Finally, it reported a ‘good’ level of interest in its 5% discount scheme for NHS and care workers – which it launched in recognition of health workers’ contribution to fighting Coronavirus – alongside a commitment to new working practices it has put in place to ensure the health and safety of its employees.

Taylor Wimpey comments

On the safety of its construction activities, the company’s statement expanded,

We have now restarted construction on the majority of our sites in England and Wales. Our first priority remains the health and safety of our customers, employees, subcontractors and wider communities, and we are extremely proud of the way our teams have adapted to the new ways of working. Our new site protocols have been implemented successfully and the new Taylor Wimpey COVID-19 Code of Conduct continues to receive strong support from our employees and subcontractors. These measures include detailed signage, phased sign-in times, strict protocols for social distancing, modification of welfare facilities and additional customised Taylor Wimpey PPE.”

On its staff returning to work, the group continued,

“All of our employees have now returned to work as of the beginning of June with none remaining on furlough. Many are still working from home, including those shielding or those who are shielding someone vulnerable. It remains our policy not to ask anyone to return physically to work, if they do not feel it is safe for them to do so. Our offices remain closed to all but essential visits and our office-based employees and a large number of our Sales Executives continue to work remotely from home. We continue to regularly communicate with our employees through a number of different channels and are pleased that engagement remains at a very high level.”

Investor insights

Following Wednesday’s update, the company’s shares dipped slightly, by 1.70% or 2.70p, to 156.30p per share 16:35 GMT 10/06/20. Taylor Wimpey’s p/e ratio is 7.83, while its dividend yield stands at an impressive 4.89%.