We have just been told that we are under consultation for the closure of our company. We were told verbally at 9:30am on Thu and 7 minutes later the MD had sent an eail to our main client to advise them that the company was being closed down/phased out and we would not be taking on any more work. This went through our industry like wildfire and we had several phone calls within a couple of hours asking what was going on. We are a small part of the group. Later we were given letters around lunch time advising us formally of the consultation process and giving us all interview dates the following week with the MD and HR.  The MD informing our major client that the group are closing our company has effectively prevented us from now putting forward e.g. a management buyout as all our clients will now be looking elsewhere to replace us. Surely this action by the MD had prejudiced the outcome of the consultation? Or was he within his rights to do this? He did suggest in his email to the major client that other companies within the group would still be willing to carry out the works that we did! Do we have a leg to stand on or should we just accept the closure gracefully? Its just that we feel a bit unfairly treated but….should we cut our losses – some of us are over 50 and will probably struggle to get new positions. There are 6 people in our company. 5 are under threat now and one is being kept on longer to finalise things once the current contracts have been completed. Our current contracts will all be completed by our year end in April. In September last year we were told by our MD not to tender for any work that started before March. Any advice will be greatfully received. We do have a few irons in the fire for work that would start in the new financial year but the MD has not even looked at it. The MD is also MD of our parent company so is not affected by the decision.

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