Tayside Contracts has been rocked by allegations of bullying and harassment made against senior staff and workers in the Perth area.
There has been an internal investigation into two managers and the company has taken action after complaints were made against them.
Following the outcome of the investigations one of the managers is awaiting a disciplinary hearing for harassment while the other has been informally dealt with over a bullying complaint.
In addition, two workers are suspended from work as part of a major investigation into separate claims of harassment against an individual.
Tayside Contracts has a number of council contracts in Dundee, Perth and Angus.
A whistleblower, who did not want to be named, told The Courier: “I saw one manager talking down to a worker, ripping into him for being late in front of others. He was belittling him.
“Another manager has been reported for harassment. There has also been a spate of bullying towards one person.
“The person being bullied has been sorted out while the people doing it have been suspended. There were 12 people involved in the whole thing but they narrowed it down to two guys who have been suspended.
“They have both been suspended for the last six weeks. One particular day it was about a jacket which had the back cut out of it and someone wrote that he was spineless.”
The source said the jacket did not belong to the victim, who also did not see the message, which was discovered by another employee who reported it.
Managing director Iain Waddell said while he could not comment on individual cases, he was aware of all of the allegations.
He said: “In relation to the two managers, both cases were fully investigated and one has been dealt with and closed, with the other manager facing a disciplinary hearing in accordance with our procedures.
“With regard to the other two employees, the allegations made against them were much more serious than the one incident.
“A full investigation has been undertaken and they will be facing a disciplinary hearing within the next couple of weeks.”
“I would like to emphasise that we have the same policy and procedures which deal with the conduct of all employees equally within Tayside Contracts.”