WILKO has put any potential job cuts on hold while administrators consider new bids for the retailer – but it’s not all good news.
Wilko tumbled into administration two weeks ago, putting the future of its 400 shops in doubt and the jobs of 12,500 workers.
PAWilko has put any potential job cuts on hold in a sigh of relief for workers.[/caption]
Administrators from PricewaterhouseCoopers (PwC) have sought offers from interested firms in an effort to save jobs and stores.
Today, The GMB union has said administrators for Wilko will not be proceeding with redundancies while it considers further bids for the stricken high street chain.
The union, which represents more than 3,000 of Wilko’s staff, said it met with administrators this morning.
While this may provide workers with a temporary sigh of relief, there is still a possibility that jobs will be cut if no deal is reached.
Andy Prendergast, GMB national secretary, said: “All redundancies at Wilko have been suspended while the administrator considers further bids.
“Whilst this is a positive development, Wilko is not out of the woods by any means and this is a time of incredible stress and worry for the 12,500 workers who face losing their jobs.”
A last-minute bid for Wilko was received over the weekend from restructuring specialist M2 Capita.
It is understood that the deal could keep the entire Wilko chain trading.
Just days earlier, Canadian businessman Doug Putman, who bought music retailer HMV in 2019, was believed to be making an offer.
PwC said talk of Mr Putman’s bid was “speculation”.
A spokesperson said: “Since our appointment as administrators of Wilko, we have worked relentlessly to secure a sale of the business, and talks are continuing with a number of parties.
“As administrators we’re intent on achieving the best outcome for everyone involved while preserving as many jobs as possible and adhering to our statutory duty to act in the best interests of the creditors as a whole.
“It would be inappropriate to comment on individual bidders or interested parties at this stage in the process.”
Wilko fell into administration more than 90 years after the chain began as a single hardware shop in Leicester.
Founded by James Kemsey Wilkinson in 1930, the company’s first store opened on Charnwood Street under the Wilkinson Cash Stores brand.
In an emotional interview, Lisa Wilkinson, granddaughter of the chain’s founder, said that everybody put their “soul and heart” into saving the chain.
Meanwhile, we have put together a full list of retailers offering jobs to devastated Wilko staff.
Plus, workers have make a desperate request to shoppers ahead of potential store closures.
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