150 jobs go as city firm shuts after 80 years
WORKERS LAID OFF BEFORE PAYDAY AS 80-YEAR-OLD PRINT COMPANY CEASES TRADING
A LEICESTER print firm which has been trading for 80 years has closed most of its operations with the loss of 150 jobs.
Taylor Bloxham Group called in administrators on Thursday after failing to find buyers for its print, point of sale and e-commerce logistics divisions.
A buyer has been found for a mailshot division called Mailbox, saving 21 jobs.
The family-owned business had faced mounting problems caused by “severe cash flow pressures”, following losses of almost £900,000 in 2018.
The business had four sites in Leicestershire, including its headquarters in Beaumont Leys.
The divisions which have closed are Taylor Bloxham, which provided printing solutions to a wide range of businesses; Instore, which specialised in point of sale displays and FastAnt, a warehousing, distribution and e-commerce division.
In recent years, blue chip clients had included Bentley, Crown Paints and Bafta.
One worker said staff were furious to be told they were being laid off a day before they were due to be paid.
He told the Mercury: “They made us work a full month before laying us off the day before payday.
“We worked five weeks for nothing. Our treatment has been a total disgrace.
“I have worked for them for 24 years and am now on the scrapheap at 58.
“We have been told to collect our things on Monday at 10.30am and now face a struggle to get the money we are owed.”
John Lowe and Ben Woolrych, partners at specialist business advisory firm FRP, were appointed as the joint administrators.
In a statement FRP said: “The company has suffered severe cashflow pressures, which had become unsustainable in recent months following a period of losses and a tightening of supplier terms.
“FRP had been working with the directors of the company on an accelerated sale process with the aim of securing a sale for the entire business and had received interest from several parties.
“However, ultimately, an appropriate offer was only received for the Mailbox division for which a sale has been completed, protecting 21 jobs.
“On appointment, the administrators have been forced to close the remaining divisions of the business and take the difficult decision to make all 150 employees redundant.
“The joint administrators will now focus on maximising returns for creditors through selling the remaining assets of the business and providing support for all affected employees.”
Mr Lowe said: “Taylor Bloxham has been a part of the business community for over 80 years, but, despite the best efforts of the management, has been forced to close with immediate effect.
“We will work with the Redundancy Payments Service to provide support at what we know will be a difficult time.”
Most recent accounts for the group showed losses of around £870,000 in the year to September 2018, due to “falling margins and increased overheads”. Turnover was £29.2 million. The business said that while the first part of that year started positively, trading conditions deteriorated in the second six months.
It also reported an “unstoppable” rise in paper prices.