Leading independent electrical retailer, Bennetts Electrical, which employs about 300 staff in 14 stores across the country, has collapsed. Administrators, PKF, yesterday revealed the extent of the redundancies and said 57 staff had been kept on by Bennetts while efforts continue to find a buyer.
It said there was a chance that “some or all those made redundant” could be taken back on by a new owner.
All 16 stores – including those at Martlesham Heath, Bury St Edmunds, Diss, Colchester and Chelmsford – remain shut and a skeleton staff has been retained while stock taking continues.
A PKF spokesman said: “We confirm that unfortunately it has been necessary to make 228 members of staff redundant while 57 remain, but wish to point out that some or all of those made redundant may return to work if, as anticipated, a purchaser is found for some or all of the business.”
It is understood that all the shop staff – except managers – have been made redundant and among those kept on are drivers and warehouse workers, Bennetts Retail staff and head office employees.
PKF is not giving a breakdown of which departments the redundant staff are from.
The PKF spokesman added the joint administrators were in “positive discussions” with a “significant number” of potential buyers.
The hope remains that a deal will be completed within two weeks. It is understood that one of the interested parties is Bennetts management.
Bennetts’ website has been taken down and only displays brief information from the administrator. No new orders are being taken.
Staff have complained angrily about the lack of information.
One shop salesman, who did not want to be named, said: “We are really annoyed at being told hardly anything and we are hearing more on the news. We can’t understand why the shop staff have been made redundant and yet the business could be sold and the shops could re-open.
“There is a fantastic workforce and we want the chance to be taken back on. Selling a business without staff is like selling a football club without players.”
Mike Jones, managing director of Bennetts, said: “The Directors and staff have worked extremely hard over the last two years, harder than at any other time in our history, in an effort to address the particular challenges that the economic climate has presented, this being primarily due to the lack of consumer confidence.
“We are hopeful that (administrators) PKF can find a suitable rescue package with all due speed in order to preserve as many jobs as possible, so that we can commence trading again with our loyal customers.”
David Merrygold, PKF corporate recovery partner, said customers with queries over orders were being directed to a phone hotline and would be dealt with on a case-by-case basis. The hotline phone number is 0845 4582000.