Over 235 local government construction workers left in limbo after a contract wrangle are to return to their previous employer.

The workers were due to transfer from City Building (which is Glasgow City Council controlled) to private company Connaught on Monday 30 March however the transfer did not take place because the company failed to agree to cover the workers' pension liabilities.

The workers did not find out that the transfer was not going ahead until they attended a proposed induction organised by Connaught at Hampden Stadium on Monday morning. Only then were they told the induction would not go ahead and the transfer had been delayed.

A statement from GHA said the firm has "secured a solution which ensures continuity of service provision to tenants and homeowners and protects the employment and pension rights of the workers affected."

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It said: "GHA's tenants and homeowners across the city will receive a full Repairs and Maintenance from Wednesday morning under a contract with City Building who will also resume responsibility for all the employees.

"The breakthrough follows days of discussions brokered by GHA in an attempt to break the deadlock which had developed between the contractors."

The housing association said they have been "hugely disappointed at the behaviours and positions adopted by a number of parties over the last week and the disregard shown for tenants and for workers."

A statement from Connaught said it was "with regret and extreme disappointment" that it withdrew from the contract.

It said: "The senior management of Connaught has worked all hours to come to an agreement to allow the employees to commence their works.

"It became clear that, despite the best efforts of Connaught, the relevant parties were not committed or intent on ensuring the contract went ahead."

Willie Docherty, managing director of City Building, said they will continue to provide "a first class service" to tenants and owner-occupiers city wide.

"We acknowledge the important role played by our employees over recent days, which assisted with the contract award."

(GK/JM)