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Updated at 9.43pm
WORKERS AT CLERYS have left the iconic Dublin department store this evening after being told that all the jobs are to be lost.
A group of workers remained in the nearly 200-year-old store for a number of hours after they were informed of the store’s liquidation but have now left. Several were in tears as they did so.
Provisional liquidators were appointed to the company that operated the store following a High Court hearing this evening. The appointments were sought after the group was sold to Natrium Ltd earlier in the day.
The company employs 130 people.
While approximately another 330 are employed by the 50 concession holders, who sold their wares in the department store.
Staff leaving the store this evening told TheJournal.ie that they were called to a meeting this evening expecting information about the sale. Instead, they were told that their jobs were to be lost and that they were entitled to statutory redundant.
“We were told at 1:30 that it’s being sold and a notice was put on the back door,” according to Yvonne Murphy who’s worked at Clerys for 12 years.
We were told at 5 o’clock that the store was closing at 5:30 and that customers had to leave. Then the meeting was called for six and we were told that it’s being liquidated and we are only entitled to our statutory pay.
“We came into work today and you don’t expect it,” she added.
Mr Justice Paul Gilligan earlier appointed insolvency practitioners Eamon Richardson and Kieran Wallace of KPMG as joint provisional liquidators of OCS Operations Ltd, which has operated Clerys Department Store and Warehouse since 2012.
The company, which petitioned the court for the liquidators appointment, told the court it must immediately cease trading and close down to prevent any further debts arising.
Also leaving the store before 9pm this evening after a brief sit-in was Margaret O’Dea, an employee of 45 years next month.
“We were just told that it’s been boarded up and going into what’s it called, insolvency? I couldn’t think of the word, I’m so shocked I can’t think of anything.”
“I knew when we were having the meeting it was strange but I didn’t know anything else. I was shocked, I was bawling crying to be honest with you. I’m still shocked. So we’ll just wait and see.”
“It only last half-an-hour (the meeting) they didn’t tell us anything really they just gave us something to read which I haven’t read yet, I still have to read. It just says the companies insolvent.”
Before the staff left the store, liquidators were also understood to be inside alongside security staff.
The security staff present were not the regular Clerys security according to Siptu’s Teresa Hannick who was outside the store this evening.
Locks were also changed at the store as staff were leaving.
‘Difficult trading’
The High Court had heard the company is unlikely to have sufficient monies to make upcoming payments, including ones due early next week, and is unable to pay its debts.
The liquidators would be best placed to preserve the value of the business, deal with employees, the concession holders and creditors, the company said.
The company employs 130 people.
While approximately another 330 are employed by the 50 concession holders, who sold their wares in the department store.
Officials with workers’ union Siptu is seeking an urgent meeting with the new owner.
Speaking outside the store this evening, Siptu’s Hannick said that they knew Clerys was “going through difficult trading, but we didn’t think it was going to be as serious as this.”
She added that Siptu will be “looking for the best deal we can for our members.”
She noted, however, that in the case of a liquidation staff are only entitled to statutory redundancy.
Hannick made reference to the closure of the store back in 2013, when it was closed due to flood damage, and described the work the staff put it to get it back open.
“Our members would have taken on extra work, they would have gone with, I think it was about six weeks without pay, or unpaid leave. They all came up, they loaded all the stock they could from Ballycoolan back in here to keep it going, and this is how they’re being treated.”
Wound up
In the High Court, the judge granted the liquidators powers allowing them take possession of the company’s assets, books and records, retain or dismiss staff, make payments to creditors, and carry on the business of the company pending the hearing of the petition to have the company wound up.
The High Court heard that following the sale Natrium removed OCS Operations from the Group and transferred the shares in the company (Operations) to insolvency practioner Jim Brydie, Kingsmere Road, London for €1.
At the High Court yesterday Kelley Smith Bl for OCS Operations said arising out of the examination the company had no alternative other than to seek the appointment of a liquidators.
Counsel said since 2012 OCS Operations had traded at a loss and was now balance sheet insolvent. Counsel said between August 2012 and January 2015 the company has lost €4.3m.
Counsel said while the loans are not repayable until September 2016 a change in the shareholder, as has occurred, means a demand for the loans facilities to be repaid can be made.
Counsel added that financial projections showed a cash flow deficiency in August. OCS Operations would require further funding from the group parent OCS Investment Holdings. That firm indicated it would no longer provide any further financial support to the company.
After appointing the provisional liquidators the judge adjourned the matter to a date in early July.
Source: Sasko Lazarov/Photocall Ireland
What plans Natrium have for the site are not yet clear.
Additional reporting by Aodhan O'Faolain, Cianan Brennan, and Nicky Ryan.
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We can’t police our streets as it is at the moment. How on earth are they going to police public transport? We need an American style type of policing, three strikes and you’re done. We also need our judiciary system to up their game and hand down harder penalties and to stick to them. That way our streets and transport will be more safer.
@Brian k.: the jails are full and they haven’t opened a new one since 1989. No point in increasing police numbers until that is sorted.
@Brian k.: We absolutely do NOT need the American model of anything, especially policing. It’s been shown time and time and time again to be biased and ineffective. All it does is increase the numbers of disadvantaged people in the prison-industrial complex, which is exactly what it’s supposed to do. Updated slavery by another name. We’re better than that
@Brian k.: three strikes is proven not to be a deterrent and is proven to increase violence among offenders. It doesn’t work.
@Paul C: We have to start somewhere. Currently we have repeat offenders with 100+ convictions and no sign of them reforming.
@John Fahy: The midlands prison opened in 2000. I agree with your point that more prison space is urgently needed.
@John Fahy: start executing some of the serial offenders with 500 previous convictions would soon clear out the prisons. No loss to society.
@Brian k.: What’s your goal, to punish those who commit crime or reduce crime overall? If it’s the latter, the US model has shown harsher sentences and prison conditions don’t achieve this
@Brian k.: American style policing, what just shoot everybody who you perceive as a threat. Believe you me American style policing is the last thing we need in this country.
@Brian k.: imagine a public transport police somewhere in another Eu country. Crazy how Ireland is being crazily mismanaged by the government and how baffling how there is absolutely 0 accountability for it.
@Brian k.: are you going to pay the massive tax hike to facilitate the building of more prisons, courts, and hiring of more staff at every level of the justice system to facilitate this? America is more dangerous than it’s ever been and mass incarceration is not a deterrent.
@John Fahy: exactly, and worse part is that over 20million Euro was spent buying a site for a prison and it’s costing thousands more to secure it now and not a block or foundation dug..
@John Fahy: That’s correct. We need a lot more prisons to be built.
@Dave G Doe: very good point!
@John Fahy: Helen mcentee was looking at potential a few years ago. Nothing happened, no surprise there then.
@Paul C: Woke people believe that if they say something, then it is so!
Only one way for the Government to take back control of our streets and that is to hit offenders where it hurts.
Take away their freedom and hit them in the pocket by making deductions from bank accounts or social welfare payments to ensure that fines are paid.
Start by sacking every judges in the country. Most of them haven’t a clue. Giving out suspended sentences for paedophiles like it’s no bother at all
@reg morrisey:
Judge Nolan should be up the first one there.
If they were serious about tackling crime and marking those responsible accountable then hit offenders in the pocket. Increase court fines and take it from their dole (yes most offenders do not work!) and not in lots of small instalments. If they’re fined €500, take €50 a week for 10 weeks. If teenage thugs under 18 are convicted, take it from their parents children’s allowance. Nothing else works, there are no prison places and community service etc doesn’t work. Mandatory fines taken from your pay for dole will make many of them think twice before committing crimes.
Once they keep the Luas Green for members of better stock and no North or West Side Skangers on it.
Eight thousand soldiers sitting on their holes, why not use them, the French do
Like everything in Ireland I don’t think any of the 4 .5 % reduction will be seen by the consumer…
Ah I see the usual sock puppets are heavily active on this thread cheering each other on with their usual hang’em high cow feces
How about we focus on actually sentencing people properly first? There’s no point hiring “transport police” when we can’t even police the main streets in the city centre. Even if we did hire these “transport release”, unless we fix our sentencing laws it’s still just going to be more catch and release for the criminals. There is no reason why the Dáil can’t pass a bill which mandates that the government has to build at least 5 new prisons in the next 10 years on state-owned land. We also need to introduce mandatory minimums for all crimes and make sure that a life sentence means exactly that – a life sentence. You’re not released after 18 years and no chance of getting early parole. We also need a three-strikes rule with a minimum 25 year sentence for those who break it.
Lol! So a new ‘Dublin’ police force then?
The NTA and TFI are not fit for purpose, bring back the carriage office and let them police all public transport services including taxis, the amount of illegal/undocumented taxis on the road is unbelievable
Gardai can’t cope with current level of antisocial behaviour. Judicial system is broken with repeat offenders having no incentive to desist.
Now a new type of garda with different level of authority and can only operate in certain environments and likely will have to hand over detainee to a garda anyway. Recipie for inefficiency.
Will believe it when l see it
If men were just men again it be grand. Telling ye, a few pud mouths wrecking my head and illnjust drag them off at the next stop. I was born in the 90s but I know this was how it was done in the 70s
would they fine their recurrent traffic offenders and report those rude drivers who deliberately miss their bus stops ?
…
Can’t recruit gardai naval personal army airport and now they want transport police lol
have your say