112 lose their jobs as par­cel firm goes bust

City Link con­firm ad­min­is­tra­tion after last-ditch res­cue at­tempt fails

Harefield Gazette - - FRONT PAGE - By Will Ack­er­mann will.ack­er­mann@trin­i­tymir­ror.com

MORE than 100 staff at City Link’s West Dray­ton trans­port hub have been made re­dun­dant after last-ditch ef­forts to res­cue the par­cel company failed.

Ad­min­is­tra­tors an­nounced on New Year’s Eve that 2,536 of the firm’s 2,727 em­ploy­ees had lost their jobs, and last week the im­pact on West Dray­ton be­came clear.

Of the 132 full- and part-time staff work­ing at the firm’s Heathrow trans­port hub, in Stock­ley Close, 112 have lost their jobs.

Joint ad­min­is­tra­tor, Hunter Kelly of Ernst & Young, said: “It is with re­gret that we have to an­nounce sub­stan­tial re­dun­dan­cies at City Link Limited, which ceased ac­cept­ing new parcels on De­cem­ber 24, 2014.

“The company en­dured sub­stan­tial losses, which ul­ti­mately be­came too great for it to con­tinue as a go­ing con­cern, and City Link Limited en­tered ad­min­is­tra­tion fol­low­ing an un­suc­cess­ful sale process.”

The par­cel de­liv­ery company, which op­er­ates 53 de­pots and three trans­port hubs across the UK, en­tered ad­min­is­tra­tion on Christ­mas Eve.

Ad­min­is­tra­tors turned down an of­fer from an un­named con­sor­tium to buy the business, say­ing the bid ‘of­fered no money up front and sig­nif­i­cantly un­der­val­ued the as­sets to be ac­quired’.

Mick Cash, gen­eral sec­re­tary of trade union RMT, called the decision to re­ject the of­fer a ‘dis­grace­ful and cyn­i­cal be­trayal that will wreck the lives of our mem­bers, many of whom are owed thou­sands of pounds,’ adding that ‘RMT does not be­lieve that those pulling the strings had any in­ter­est in sav­ing this business’.

Business sec­re­tary Vince Cable MP said the gov­ern­ment had put mea­sures in place to help the af­fected staff to find new jobs.

He said: “This is very sad news for the City Link work­ers and their fam­i­lies at a par­tic­u­larly dif­fi­cult time of year.

“The gov­ern­ment has put ar­range­ments in place to help em­ploy­ees who are made re­dun­dant and we stand ready to help.

“City Link em­ploy­ees and self­em­ployed driv­ers who have their con­tracts ter­mi­nated as a re­sult of City Link’s ad­min­is­tra­tion will be able to ac­cess the gov­ern­ment’s rapid re­sponse ser­vice, which draws to­gether lo­cal part­ners such as Job­cen­tre Plus and the skills bod­ies to de­liver support for each per­son af­fected.”

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