MP: Plan to axe hundreds of City Link jobs 'appalling'

Adrian Bailey, Labour MP for West Bromwich West, said he would be speaking to Business Secretary Vince Cable and urging him to do everything possible to mitigate the impact on workers.

More than 600 West Midlands workers face losing their jobs this week when administrators meet with staff.

It includes staff at the firm's headquarters in Coventry, as well as bases in Wednesbury, Stone, Shrewsbury and Birmingham.

Workers found out they were losing their jobs on Christmas Day after the news of the firm's collapse broke without warning.

Mr Bailey said: "I am desperately disappointed City Link has gone into administration. The timing of the announcement is absolutely inexcusable.

"It is an appalling New Year's present for worker's nationwide and here locally.

"It is clear the company has been losing money for some time and I would have reasonably expected pre-emptive action to sort things out or to put the company in administration earlier.

"It wouldn't have been a great consolation for the workers but may have reduced the scale of the job losses."

City Link, which is owned by investment firm Better Capital, employs 2,727 people and counts Amazon and John Lewis among its clients.

It called in administrators on Christmas Eve after years of 'substantial losses'.

The firm was due to make an official announcement on Boxing Day but news broke on Christmas Day afternoon.

Staff were being called to meetings today to find out about their future.

Restructuring specialist Better Capital acquired City Link in April 2013 and staff have told the Express & Star they believed the firm was turning a corner.

Better Capital invested £40m but administrators Ernst and Young said City Link had incurred substantial losses over several years and the money could not help it turn the firm around.