Gulliver’s Truck Hire is to make 311 of its employees redundant after appointing administrators yesterday (18 December) and will also look to sell a number of its 4,500 vehicles in order to enhance returns for creditors.
David Pike and Mark Orton, restructuring partners at KPMG’s restructuring practice, were appointed as joint administrators of Gulliver’s Truck Hire Limited yesterday (18 December).
KPMG said that Bristol-based Gulliver’s Truck Hire has a fleet of approximately 4,500 vehicles available on short and long term contracts. It also said that all 311 employees will be paid outstanding wages for the period from 1 December to 31 December 2018.
Pike said: “It is very difficult to see a family business unable to carry on trading, especially at this time of year. Unfortunately, the Gulliver’s team faced significant challenges in tough market conditions. Despite efforts to deliver a turnaround and reposition the business, further losses have been incurred. This has impacted cash flow and led to the directors taking the difficult step to appoint administrators.”
One employee, who wished to remain anonymous, told Commercialmotor.com: “At 2pm [yesterday] administrators walked into [Gulliver’s] Brownhills depot [in Walsall] unannounced and told staff that the company was in administration and they would be told on Friday about redundancies. They have told staff that they will be paid on Friday as planned.”
Pike added that KPMG has worked with stakeholders to “ensure that outstanding wages can be paid” and it would work to ensure all employees who have been affected by redundancy receive all information and support they need in order to claim any other monies owed to them from the Redundancy Payments Office.
“We will also be carrying out a very short period of trading to facilitate a number of vehicle sales which will enhance the return to the company’s creditors,” he said.
Commericalmotor.com reported on 12 December that attempts to sell the business as a going concern had failed.