Several Nottingham-based paper supply companies, which are part of PaperlinX UK, have entered administration after suffering a fall in demand within the industry.
The companies affected include The Paper Company Ltd, Robert Horne Group Ltd, Howard Smith Paper Group Ltd and PaperlinX Services (Europe) Ltd.
Matt Smith and Neville Khan from Deloitte were appointed joint administrators for the UK group on 1st April. 14 sites have closed down and 693 employees have since been made redundant.
The Australian parent company, which runs paper supply firms across Australia, New Zealand and Asia are not involved in the UK administrations and are trading as normal.
PaperlinX CEO, Andy Preece, commented “The profitable Spicers businesses in Australia, New Zealand and Asia are insulated from the financial liabilities of the UK businesses”.
“In this region, PaperlinX’s primary focus will be to continue to develop its businesses beyond paper merchanting and into sign and display and packaging.”
“PaperlinX has strongly supported its UK operations for many years, but despite continued efforts and the investment of significant capital over recent years, it has not been possible to successfully restructure the UK group.”
We are not involved in the administration and questions should be directed to Deloitte who are handling the administration.
If you are an employee of the business, please listen to the video below as it will tell you your rights as an employee of an insolvent business. There is a link at the end of the video to the Government website which expands further on what you need to know.
We also have an infographic illustrating who gets paid, and in what order (including employee claims), when a company enters administration.