The owner of retail convenience chain My Local may put the company into administration, affecting roles in Preston.Advertisement
Greybull Capital, who bought the chain from Morrisons in September, has reportedly lined up an accountancy firm to be administrator for the store which has 120 stores and employs 1,650 people.
The store on Blackpool Road in Preston would be affected by any decision made regarding the future of the company.
This is further bad news for the retail sector after troubles seen at both BHS and Austin Reed.
Joanna McGuinness is the national officer for the Usdaw union attempting to secure the best deal for My Local staff.
She said: “My Local staff are devastated by the news that the company is going into administration. Having been sold by Morrisons last year, there was a mood of optimism that the new owners could turn around the business.
“We are talking with the company in a bid to save jobs and get the best deal for staff. In the meantime Usdaw is providing the support, advice and representation they need at this unsettling time.”
The Guardian and The Telegraph both report that Morrisons faces liabilities of up to £20m if My Local goes under.