City Link depots to close as 230 more jobs are axed

The registered office of City Link at Coventry Airpark, Baginton, Coventry.

The registered office of City Link at Coventry Airpark, Baginton, Coventry. - Credit: PA

A further 230 people, including 26 in the East of England, have been made redundant by the administrators of collapsed parcels courier firm City Link.

The job losses, on top of 2,356 redundancies announced on New Year’s Eve, will take effect between today and January 15 as part of a phased closure of the City Link network of depots.

There will be a further five job losses, in addition to 39 already announced, at the company’s depot in Norwich which is among 24 due to close by Friday, January 9.

A further nine jobs, on top of 38 previously announced, will go at the City Link depot in Chelmsford, which is one of a further 27 due to close between January 12 and 15.

Also due to close next week are the depots in Peterborough, with the loss of a further six jobs, in addition to 57 already axed, and Hatfield, where a further six jobs will also go, in addition to 108 redundancies previously announced.

Three one-person operations, including one in Newmarket, have already closed as a result of the redundancies announced on December 31.

Beyond January 15, the remaining parcels within the City Link network will be sent to its headquarters in Coventry, from where they can either be collected by their senders or returned to them using an alternative carrier.

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A total of 141 “back office” employees will be kept on beyond January 15 to assist the administrators, including 54 in Coventry and others at some of its depots, including 25 in Milton Keynes, two at Hatfield and one in Chelmsford.

Hunter Kelly, one of the joint administrators from accountancy firm Ernst & Young, said: “It is with regret that we announce further redundancies at City Link Limited, which will take effect over the coming days as the company’s remaining UK depot operations close.

“Having returned a large volume of parcels to City Link Limited’s customers and recipients over recent days, it is no longer viable to continue operating these depots and a phased plan to close them has begun.”

Ernst & Young said that employees affected by the redundancies taking effect between January 7 and 15 had been informed of the anticipated closure dates of their depots, athough the actual dates would depend on progress made in the coming days in relocating parcels to Coventry.