A whole bunch of individuals have misplaced their jobs days earlier than Christmas as an upmarket Virgin resort shut abruptly.
Employees on the Virgin Motels in Glasgow’s Clyde Avenue had been instructed their flagship luxurious department which opened in August, would shut with “quick impact” with tons of left in limbo as as to whether they are going to be paid or not.
Unite Hospitality, which represents employees on the resort, confirmed the closure.
Posting on X, previously referred to as Twitter, the union wrote: “Our members at @virginhotels in Glasgow, have simply been knowledgeable that the resort is to shut with quick impact 6 days earlier than Christmas.
“The CEO flew in from the US however couldn’t even reply whether or not employees will receives a commission for hours labored.”
Employees had been reportedly instructed of the resort coming into administration in a gathering on Tuesday morning earlier than being instantly escorted from the resort grounds.
It’s presently not doable to e book an evening’s keep on the Virgin Motels web site.
It’s understood that the corporate which ran the resort, V Resort Glasgow Restricted, had inadequate funds to make sure that ongoing operations might proceed.
Bryan Simpson, lead organiser of Unite union, mentioned: “The best way wherein employees at Virgin Motels have been handled by the corporate is outrageous.
“Our members had been instructed right this moment by the CEO that the resort could be closing with quick impact, with out the required discover or session, all simply 6 days earlier than Christmas.
“Senior administration couldn’t even affirm whether or not employees could be paid wages for hours labored.
“This isn’t simply morally reprehensible, it might be illegal and we will probably be doing all the pieces in our energy to make sure that these employees get the wages, severance packages and compensation that they deserve.”
A spokesperson from Virgin Motels, mentioned: “Lloyds Developments Restricted – the proprietor of Virgin Motels Glasgow, which Virgin Motels has a administration contract with – has monetary issues and on 1 December its lenders put it into administration.
“In consequence, the administrators of V Resort Glasgow Ltd, the employer and working firm in respect of the resort, are being suggested by FRP Advisory LLP as they place that firm into liquidation. These monetary points imply that the resort can not proceed working and now has to shut.
“Virgin Group tried to search out options, together with providing to buy the resort, to maintain the resort open, preserve the staff in employment and make sure the completion of the event of the resort, creating one thing the Metropolis of Glasgow could possibly be happy with.
“Sadly, the lenders have not accepted Virgin’s provides and intend to pursue a gross sales course of with the resort closed. Virgin Motels is very dissatisfied by this choice after the exhausting work everybody has put into the resort and due to the influence it’ll have on the staff that works there.
“The Virgin Motels staff continues to have nice ambitions for managing the resort in Glasgow and appears ahead to re-opening as soon as a brand new proprietor is in place.”
Blair Nimmo, CEO of Interpath Advisory and joint interim supervisor, mentioned: “As joint interim managers, now we have not been concerned with the buying and selling or closure of the resort however know that this will probably be a worrying and disappointing time for all involved.
“We might very a lot hope that the resort – an outstanding growth, proper within the coronary heart of Glasgow – could be opened and operational once more underneath new possession sooner or later sooner or later.”
Geoff Jacobs, managing director at Interpath Advisory and joint interim supervisor, added: “We’ll focus our efforts on working with stakeholders to facilitate a sale of this vital and engaging property for the advantage of the collectors of Lloyds Developments Ltd.”