When news happens, text LT and your photos and videos to 80360. Or contact us by email or phone.
Workers left unpaid after Blackburn firm slips into administration
EMPLOYEES at a Blackburn company have gone unpaid after the firm went into administration.
Whitebirk-based People 2 People, which owns a number of financial services companies, issued a notice via the High Court last month, saying the company was, or was ‘likely to become, unable to pay its debts’.
On Friday, it was confirmed the company had gone into administration, affecting around 100 employees.
Andrew David Rosler, of Bolton-based Ideal Corporate Solutions Ltd, who is dealing with the company’s affairs, said the businesses were in the process of being sold, and around 100 staff members had been contacted by post.
He said some of the employees would be taken on by the new owner, while others who had been made redundant would be able to claim back some of the money owed to them through the government’s insolvency service.
He said: “We are in the process of selling the businesses so that they can be preserved and jobs can be saved.
“We will announce details of the purchasers shortly. “Everybody who has been made redundant will be able to claim the majority back from the government’s insolvency office, and the new owners will be taking on the current staff.”
But some employees said they were unhappy with the way the company, run by chief executive Mark Butterwick, had handled the situation.
One woman, whose daughter worked for one of the companies, Credit Agreement Limited, said staff had not been paid and had been kept in the dark about what was happening.
She said: “People were made redundant and then asked if they wanted to stay on for two weeks, but now the company is in administration and they haven’t been paid.”
Mr Butterwick was unavailable for comment on Friday.
Any employees of the company who have not been contacted can called Andrew Rosley at Ideal Corporate Solutions on 01204 663000.
Comments are closed on this article.