Infracon's boss admits his staff are concerned about their future after Tararua District Council opted to negotiate its roading maintenance contract with Downer ED.
Infracon, partially owned by the the council, previously held the road maintenance contract for the Tararua, but last week councillors signalled they were negotiating with Downer - leaving Infracon staff worried about their jobs.
However, Darren Mason, Infracon's chief executive, admitted there had been no communication from Downer regarding staff and resources.
"I'm busy trying to reassure staff," Mr Mason said.
"Yes, the company (Infracon) has had some tough times, but we're turning the corner and our guys are doing great work out in the community and we're working hard to win as much work as we can."
With about 30 per cent of the tender required to go to local firms, Mr Mason said he was "enthusiastic" about the future.
"Infracon has a fantastic record, with excellent resources and I'm really proud of how our staff are carrying on doing great work, despite everything."
Mr Mason said about 90 staff were working for Infracon in the Tararua while others were employed in Hawke's Bay.
"Staff are obviously a little unsettled at the moment," he said.
"This job is always challenging, but Infracon is a good company with great people."
Tararua District Mayor Roly Ellis, an interim director of Infracon, has said the decision to go with Downer was simply a matter of good quality roads at the right price (for ratepayers).
But for Infracon staff fearing for their jobs, Mr Ellis' words have a hollow ring.
"It's ironic the mayor has sympathy for those losing their jobs because of the closure of Postie and fair enough, but he seems dismissive of job losses at Infracon," a staff member who wants to remain anonymous, wrote in a letter to the Dannevirke News.