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Network Journal 2008 Issue 2 March/April |
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FreshXpress soon goes stale
The company that emerged out of the Kwik Save disaster – FreshXpress – went into administration in March.
The company was trading from only nine stores prior to going bust. It had closed a handful of stores in January and February.
In July last year 56 former Kwik Save stores were transferred to FreshXpress. Since then the company sold off most of its stores on an individual basis to other bigger retailers.
"The staff who have been made redundant at FreshXpress face exactly the same position as their Kwik Save counterparts did last year," said national officer Joanne McGuinness. "This means they will only be paid the statutory minimum in terms of redundancy pay because the company has gone into administration. Any entitlement to enhanced contractual payments which they may have transferred to the new company from Kwik Save have therefore been lost. They are also owed unpaid wages and ex-gratia pay.
"This is a totally unacceptable state-of-affairs and that's why we went to Downing Street in December to press for changes in the employment protection laws to guard against a repeat of this type of situation.
"We will do all we can to help our members claim their statutory entitlement from the Government's Business Enterprise and Regulatory Reform (BERR) department."
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