‘Credible bid’ hope for City Link

Workers facing redundancy from collapsed courier firm City Link were offered a glimmer of hope today when it was claimed that there had been a “credible bid” to save part of the business.
By The Newsroom
Published 31st Dec 2014, 11:21 BST

Staff at the company, many of whom learnt of its collapse on Christmas Day, have been warned to expect “substantial redundancies” among its 2,727-strong workforce.

But they were offered a small degree of hope after Mick Cash, general secretary of the RMT union, disclosed unconfirmed details of a possible rescue, with Business Secretary Vince Cable said to be aware of developments.

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He said: “Within the past 24 hours RMT has been made aware of what we believe to be a credible bid to take over some or all of the City Link trading operation.

“At this stage we have no further details and we understand the matter is in the hands of the administrators with the Government and Vince Cable aware of the situation.

“With today key in terms of redundancies, RMT is urging the administrators to suspend the redundancy process and work with the Government and the administrators to urgently evaluate and act on any viable options that could keep City Link trading as a going concern.”

Mr Cable’s department said queries about the potential bid should be made to administrators at EY. EY did not immediately have a response to the RMT’s claim.

Related topics:RMTGovernment