Dodgy phoenix rising from the ashes, 'avin a giraaaaaafe

Friday 14th June
Northamptonshire warehousing and logistics business Linkline Transport has filed a notice of intention to appoint administrators via law firm Shoosmiths.
It has operating licences for 100 trucks and 130 trailers and has 237,000sq ft of warehousing. It employs around 50 staff. 45 employees were made redundant on Wednesday 19 June

Thursday 20th June
The director of Linkline Transport, which has filed an application to appoint administrators, has set up a new company from the same premises and applied for an operator licence authorising 50 trucks.

Hopefully this application will be refused, not least of all because:
a solicitor has told Motor Transport she is now investigating whether the company breached employment rights [in respect of the 45 employees who were made redundant]

According to FB drivers groups this is, of course, all the fault of da guvinment…
Nothing at all to do with unscrupulous business folk :roll_eyes:

Perhaps if the biggest burden the old firm had was making good outstanding VAT / tax bills, that argument is (sort of) the case.

If a company can, or if director can, set up companies that fail serially, for whatever reason, and incur serial debts, dragging down others, then the Government, and actually many past Govs too, are at fault for not outlawing that sort of behaviour.

Limited Liability Companies do have a legitimate place, but the UK laws may be too liberal in that regard.

But if a company fails because it can’t pay taxes, then it is a mess-up by the company itself.
Surely a company that undercuts others, so it can’t pay taxes shouldn’t be “let-off” ?
It has taken work from those who do budget correctly and pay their way.

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I worked for place years ago in irlam ran about 12 trucks… got back on a friday. Said were starting up in Trafford park Monday
Same truck same work same everything…just a slightly different company name.
As the owed tax or owed somebody a lot of money and it was one way of getting out of paying up.
If it’s legal to do in a way not surprised why people do it. But if you can’t make a profit why even stay in business

I had something similar happen a while back, 5pm meeting on a Friday. You can sign new contracts with the new company starting Monday. Apply for your lost weeks wages and unpaid holiday from the gov.

Odd thing was 4 of us were doing night trunk, still took the loads out that night…wonder after if we should have bothered!