Administrators for Wilko will not be proceeding with staff redundancies while bids for the stricken budget retailer are considered, the GMB union has said.
The union represents 3,000 of Wilko’s 12,500 staff, and met with administrators on Tuesday to discuss future plans.
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.”
The retailer has around 400 stores across the UK.
At the start of the month it was confirmed by the company’s chief executive officer Mark Jackoson that the company was filing a notice of intention.
He said: “While we can confirm we’ve had a significant level of interest, including indicative offers that we believe would meet all our financial criteria to recapitalise the business, at present, we don’t today have an offer that provides the necessary liquidity in the time we have available, given the mounting cash pressures we’re faced with.
“Unfortunately, with this in mind, today we’re having to take the difficult decision to file a notice of intention.
“We’ll continue to progress discussions with interested parties with the aim of completing a transaction which preserves the business and will encourage those interested parties we’re in discussions with to move as fast as possible.
“We continue to believe that our robust turnaround plan, with significant re-stabilisation cost savings in progress, will deliver a profitable Wilko and maximise the significant opportunities that we know exist.”
All locations of Wilko stores at risk of closing
Wilko has 408 stores across the UK (at the time of publication) and all will be at risk of closing if a buyer isn't found.
Wilko stores are located across the UK including in places like London (nine stores), Birmingham (three), Leeds (seven) and Leicester (five).
See the map below for the full list of Wilko stores located across the UK:
If a buyer is not found and these stores are forced to close more than 12,500 jobs will be affected.
Comments: Our rules
We want our comments to be a lively and valuable part of our community - a place where readers can debate and engage with the most important local issues. The ability to comment on our stories is a privilege, not a right, however, and that privilege may be withdrawn if it is abused or misused.
Please report any comments that break our rules.
Read the rules hereLast Updated:
Report this comment Cancel