135 jobs lost with collapse of Kirkcaldy firm Kingdom Bakers
Fife has been dealt a savage jobs blow with confirmation that 135 bakery workers have been made redundant following the collapse of an independent Fife firm.
- By Business editor Graham Huband and Craig Smith
- Published in the Courier : 31.01.12
- Published online : 31.01.12 @ 01.35pm
Staff at Kirkcaldy-based Kingdom Bakers were told of their fate during a meeting with receivers RSM Tenon on Monday, just three days after they were first informed that their jobs were under threat.
The 28-year-old company — which supplied major supermarkets as well as independent outlets and the hospitality sector — ceased trading on Friday after the receivers were called in.
The mass job losses were confirmed by the receivers and attempts are now being made to secure a sale of the business to recover as much cash as possible for creditors.
RSM Tenon said it had received six enquiries about the business and its assets over the course of the weekend and sales packs are now being prepared for distribution.
Tom MacLennan, head of recovery with RSM Tenon in Scotland, said: ''We are pleased with the interest, but would urge any other interested parties to make contact with us this week.''
The firm, which is based at Kirkcaldy's Mitchelston Industrial Estate and which had a second facility in Dysart, was four months overdue with its 2010 accounts when it collapsed.
The accounts for 2009 painted a picture of a business in decline with profits slumping by a total of £144,000 in the full year's trading despite a slight upturn in overall turnover.
News of the redundancies provoked a strong reaction from local politicians, including former Prime Minister Gordon Brown.
The Kirkcaldy and Cowdenbeath MP said he was in contact with Fife Council to ensure support is available for those who have lost their jobs.
He said: ''I am sad to hear that the company has now called in the receiver and my concern at this time is for the workers and their families. I have kept close contact to this situation over the last few weeks and my office has been in regular contact with a number of creditors including Fife Council and we have been making representations on behalf of the company in an effort to help the company continue to trade.
''I am now in direct contact with the council's economic development service to ensure that everything is being done that can be done.''
Kirkcaldy SNP MSP David Torrance said he had hoped for a better outcome and said it was a difficult day for all involved.
''I think it's a sad, sad situation for the business and the staff to be in,'' he told The Courier. ''It means jobs in Kirkcaldy are being lost again. I hope the matter will be resolved soon so we can have a working bakery in Kirkcaldy once more. It is important for the local economy.''
Lindsay Roy, MP for Glenrothes and Central Fife, said: ''I was very concerned to hear of the problems at Kingdom Bakers, a long-established and well-known Fife firm, and it is devastating news that all 135 workers are to lose their jobs.
''My thoughts are with them and their families at this very difficult time. Kingdom Bakers has an excellent reputation and I am keeping my fingers crossed that a buyer can be found as quickly as possible.''
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