Maplin HQ staff made redundant as fears grow for 2500 shop workers

Maplin creditors

Sixty-three staff members who work at Maplin’s head office have been made redundant as part of the retailer’s administration process, plunging further doubt on the future of its 2500 shop floor staff.

It comes after the retailer, owned by private equity firm Rutland Partners, last week drafted in PwC as administrators after attempts to rescue the chain through a sale fell through at the last minute.

Staff at Maplin’s offices in London and Rotherham have so far been affected by the administration.

PwC warned because a buyer for the retailer has not yet been found, further job losses could be on the cards.

“It is with real regret that we have made this decision,” joint administrator Toby Underwood said.

“We are grateful for the support of the employees during this difficult period and we will make every effort to help the affected staff, working with the Maplin HR team over the coming days.

“The company is continuing to trade but due to a lack of interest we may be required to initiate a controlled closure programme.”

Maplin currently operates 217 stores.

“We still believe there is strong value in the company and we remain focused on doing all we can to preserve the business while we continue trying to achieve a sale,” Underwood said.

When the retailer fell into administration last week, chief executive Graham Harris said the retailer had struggled to mitigate the impact of the pound’s devaluation after the Brexit vote, a weak consumer environment and the withdrawal of credit insurance.

UK retail has had a gloomy start to 2018, with the collapse of Toys R Us UK – which occurred the same day as Maplin – and a host of firms undergoing restructurings, including New Look, the Big 4 grocers, Marks & Spencer, Debenhams and House of Fraser.

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