18 jobs go as bus firm falls victim to Covid 19
An Ayr bus firm that specialised in school runs has plunged into liquidation – a victim of Covid lockdowns and remote learning.
All 18 staff have lost their jobs with drivers, mechanics and management receiving redundancy packages.
Keenan of Ayr told stunned staff they were liquidating the company bringing an end to more than 60 years in operation.
Stunned drivers were hauled in by bosses on Thursday, February 10 after they returned from what would be their final school run for the stricken company.
Education and transport chiefs scrambled over the mid-term break to re-assign the 14 contracts held by the firm across eight different schools across South Ayrshire with 580 pupils being ferried between their homes and schools in Ayr, Prestwick, Troon and Maybole as well as further afield by the bus firm.
The schools affected were Ayr Academy, Carrick Academy in Maybole, Fisherton Primary, Girvan Academy, Marr College in Troon, Prestwick Academy, Queen Margaret Academy in Ayr, and St Patrick’s Primary, also Troon.
New contracts were put in place in time for the schools return with a council spokesman confirming that no services were impacted.
Neil McNaughton, 71, who worked as a part-time driver for 20 years, said: “It was a complete shock when they told us the company was going into liquidation.
“We all got a text in the afternoon on the Thursday before mid-term.
“We were told to make ourselves available for a meeting after school runs.
“It is a great shame, it is one of the oldest bus firms in Ayrshire with a lot of history supporting the miners with transport and it was well known for contracts lasting decades with some of the schools.”
Liquidators say the firm endured a difficult two years through the coronavirus pandemic with many pupils forced to learn from home as the country was placed on numerous lockdowns.
Additional hire for events such as weddings or sport days are also said to have dipped throughout the Covid crisis and proved to be a further hammer blow to the business. The business listed as John Keenan & Sons (Darwin Garage) Ltd was operating from its base in the village of Coalhall from Darwin Garage and had held contracts with schools for 45 years. Cash-flow issues have also been cited as reasons for the company being forced to shut down. Keenan of Ayr had a fleet of 18 vehicles with the firm also offering a coach hire service.
Ken Pattullo and Kenny Craig of Begbies Traynor were appointed as joint provisional liquidators of John Keenan & Sons (Darwin Garage) Ltd on Wednesday, February 16. Thomas McKay, partner at Begbies Traynor (left), said: “Unfortunately, after the last two years of difficult trading, the business has suffered from a cash flow perspective and latterly proved unviable, due to material decreases in turnover and remote learning for children, resulting in a reduction in the number of buses on the roads and income for the business.”
Mr McKay added: “We are now in the process of dealing with the company’s affairs and realising any assets to provide the best return for creditors.”
The company, a family-run business, was started by Jack and Anne Keenan before son Jamie Keenan and his wife Sandra took over the firm. The well-known name has been associated with school transport services as well as private hire contracts since 1977.
A council spokesman said: “On Friday, February 11, we were made aware that Keenan would no longer be able to fulfil their 14 school transport contracts, affecting 8 schools and 580 pupils.
“In conjunction with colleagues at SPT, we acted quickly to source alternative transport operators, with all 14 runs replaced on Monday, February 14.
“Notifications were issued to the affected schools, as well as all parents and carers, updating them on the relevant change of school transport operator. The new contracts put in place were operational from Wednesday, February 16 following the school holiday, with no break in service.”
An SPT spokesman said: “SPT responded quickly to ensure continuity of service for the school services affected, sourcing alternative contractors to cover these services on a temporary basis.”
The business has suffered from a cash flow perspective and latterly proved unviable, due to material decreases in turnover