Almost 200 people who work for an international paper supply company based in Northampton have been made redundant today, it has been announced.
PaperlinX UK, based in Moulton Park, has been placed in administration and trading has ceased at 14 of the company’s 19 sites across the country.
A spokeswoman for Deloitte, the business advisory firm who have been appointed joint administrators, said 188 of the 411 staff at the head office in Northampton had been made redundant.
A total of 10 out of the 30 staff at another PaperlinX centre in Brackmills, Northampton, have also lost their jobs.
Across the UK, Deloitte has announced there will be 693 redundancies at the company, which will continue to trade from five sites including the head office in Northampton.
Matt Smith, Joint Administrator, said: “The industry has faced an increasingly challenging environment due to falling demand as digital communications have increased. We are investigating how best to maximise value in the businesses for the benefit its creditors.
“The Joint Administrators are seeking to continue to trade the businesses on a limited basis to secure the best value available from current stock holdings and other assets. Many of the sales office locations are being closed today.
“The businesses will continue to actively trade from five sites, including the Northampton head office, but on a more limited basis than previously. During this period we will also be attempting to find a purchaser for all or parts of the businesses.
“Employment specialists from the Joint Administrators team will be making sure affected employees are supported in making their claims to the Redundancy Payments Service for redundancy, pay in lieu of notice and any other appropriate claims. A dedicated email address and helpline for employees has also been established.”
Do you know anybody affected by the redundancies? Contact the Chronicle & Echo on 01604 467038.