Flooring retailer Floors-2-Go, which entered into administration this week,
has confirmed that its employees will not be paid.
The laminate flooring specialist has said that over 100 employees will not be
paid, including the 97 that were made redundant,
A source close to Floors-2-Go has alleged that up to seven senior managers,
who have put their own money into the company, could also lose their investment.
A spokeswoman for administrator Kroll said: ‘Unfortunately, employees made
redundant upon the appointment of the joint administrators did not receive their
final pay for the period prior to the appointment due to cash flow constraints
of the business.’
A senior member of a different restructuring firm has said that it was
standard practice for employees made redundant by an employer entering
administration would receive statutory redundancy payment from the government as
they would become unsecured creditors the paper stated.
The second largest improvement in ‘significant’ levels of financial distress since the EU Referendum was in professional services, found research from Begbies Traynor
Steve Absolom and Will Wright from KPMG Restructuring have been appointed joint administrators to City Motor Holdings and associated companies
Partners from Johnston Carmichael have been appointed as joint administrators to Axon Well Interventions Products UK
Begbies Traynor have been appointed administrators of William Anelay Ltd, York, one of Britain’s longest-established construction and heritage restoration companies