Union in inquiry call as last City Link staff axed
A union has called for a full investigation into the collapse of delivery firm City Link as hundreds more workers lost their jobs.
The Rail, Maritime and Transport union said the remaining 300 City Link staff had been axed..
Almost 2,400 jobs were lost when the company went out of business over Christmas, while a last-ditch bid to save the firm failed.
Administrators EY have announced an agreement to sell cages, scanners and intellectual property to the DX Group for £1.1 million.
RMT general secretary Mick Cash said: "Yesterday, the remaining 300 City Link staff who escaped the sack on New Year's Eve will be told that they are out of a job as the tide of human misery unleashed by the collapse of the company over Christmas continues to swell.
"With the administrators now conducting a fire sale of the City Link assets, it is simply outrageous that the bandit capitalists who drove the company over the cliff have ring-fenced their investment as secured loans and will get first call on any cash raised while our members will be forced to wait months and can only expect a pittance.
"The fight for justice for the City Link workforce goes on and RMT continues to press for a full and forensic investigation into events leading to the collapse of the company."
On New Year's Eve, more than 2,300 City Link workers were made redundant after last-ditch efforts to rescue the parcel company failed.
At the time, Mr Cash had pleaded for more time for what he said was a 'credible bid' to salvage the company, which crashed into administration on Christmas Day.
But administrators from Ernst & Young said the offer, from an unnamed consortium, 'significantly undervalued' the assets of City Link and offered no money up front.
The administrators made a counter-proposal but said 'the consortium, despite attempts to make them reconsider, declined to amend their original offer'.
As a result, Ernst & Young went ahead with its plan to slash the workforce, making 2,356 workers redundant at sites across the UK.
At City Link's Wednesbury depot, 47 staff lost their jobs. At Stone in Staffordshire, 35 went and in Birmingham, 68.
While at City Link's Coventry headquarters 279 staff were sacked.
The administrators said they had written to all employees who have lost their jobs and offered guidance on the claims procedure for redundancy and notice pay.
