Insolvency Service
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City Link in Administration: Information for employees
Administrators for the delivery firm City Link have announced approximately 2300 redundancies.
There are special arrangements for employees dismissed on the insolvency of their employer which guarantees a basic minimum of payments from the National Insurance Fund (NIF), administered by the Redundancy Payments Service in the Insolvency Service.
This covers redundancy and other contractual payments, within limits, and aims to pays 80% of claims within 3 weeks after the claim is received. The payments are made from the National Insurance Fund under provisions contained in the Employment Rights Act 1996. All payments are subject to legal limits in both the period that they can be paid and the maximum weekly amount – currently £464.00 per week.
The statutory scheme does not cover payments due to self-employed contractors or agency workers.
City Link employees should contact the administrators, Ernst and Young in the first instance. Telephone: 0161 333 2719 or 0161 333 2742
Agency workers should contact their respective agencies.
Your rights if your employer is insolvent
