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Kingstown Group furniture firm shuts with loss of 280 jobs

Kingstown Group furniture firm shuts with loss of 280 jobs

March 16, 2019
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Home Furniture

Kingstown Group furniture firm shuts with loss of 280 jobs

by Vicki Horton
March 16, 2019
in Furniture
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Nearly 300 bodies of workers has misplaced their jobs after a furniture manufacturer stopped production and closed its doorways. Employees at Kingstown Group, in Hull, had been informed in letters – dated thirteen March – their agreement had ended at the equal day. They had been additionally advised they would not receive redundancy payments because of the firm’s “modern financial role.” Administrator Phil Deyes, of Leonard Curtis, said it becomes “inside the technique of winding down operations.” He started the business, which had two buying and selling arms – Kingstown Furniture Ltd and Consort Furniture Ltd – and hired 280 human beings, confronted “tough market conditions.” “Both have visible turnover fall dramatically, impacted specifically by a sharp decline in discretionary spending with the aid of UK clients. “Economic uncertainty maintains to steer spending decisions, with little foreseeable development in the call for.”

Mr. Deyes stated the producer supplied bedroom and dining fixtures to “many well-known, high street names as well as nearby stores.” In the letter, Insol Group, which contacted workers on behalf of the administrators, said: “Due to the business enterprise’s current monetary function it isn’t capable of make bills to you for monies due inclusive of Arrears of Pay, Holiday Pay, Redundancy pay, and Compensatory Notice Pay.” One worker, George Milner, stated he became “gutted” while he changed into advised of the news in an assembly earlier. “We’ve had rough times earlier than and we’ve got continually pulled thru. “I do not know what to do on the minute. “I’ve been made redundant earlier than however; it’s more difficult now with me being older.”

Another worker, Tom Stones, said he was in “shock” after being on the company for 15 years however brought it had “been coming for a long term.” According to its website, Kingstown Furniture, which described itself as “the UK’s main producer of geared up assembled fixtures,” celebrated its 40th anniversary in 2016 and has more than “360 workforces primarily based on an eleven-acre site” in Leads Road. The circle of relatives-run business changed into an installation in 1976 with the aid of Mike Sharp, who started out making furniture in his storage for friends and family, it stated.

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