ISME calls for Fastway receivers to ensure goods in transit are returned or delivered
ISME, which represents small and medium businesses, has called on the receivers appointed to the parent company of Fastway Couriers to take immediate steps to ensure that goods currently in transit are either delivered to buyers or returned to vendors without delay.
The association said it has received a huge number of reports from affected businesses across Ireland who have been left without clarity as to the status of goods entrusted to the courier service.
Last week, it was confirmed that Fastway’s parent company Nuvion Group had entered receivership.
The company said sustained inflation, rising operating costs and ongoing price pressures had made it no longer viable in its current form.
ISME said it has received reports of perishable goods being spoiled in transit, and vendors being forced to refund customers while having no access to their stock.
The association added that the receivership has come at a critical time of year, when pre-Christmas stock is being shipped.
“Goods in transit do not form part of Fastway’s assets and are not subject to the receiver’s charge,” said ISME CEO Neil McDonnell.
“These goods belong to small businesses that are already operating under extreme cost pressures,” he said.
“Resolution of this issue months from now will be far too late for many and could threaten their viability,” Mr McDonnell added.
The jobs of around 300 directly employed staff have been put under threat by the receivership, with hundreds of additional jobs impacted among subcontractors, franchisees and solo operators across the delivery network.
On Monday, Fastway employees and couriers staged a protest outside the company’s depot in Greenogue, Co Dublin.
They said they have been left in limbo.
The workers said they have been told they are still working for Fastway for 30 days from the day the receivership was announced, but will not get paid until the New Year and cannot claim social welfare benefits until the 30 days period is past.
Joint Receivers Mark Degnan and Brendan O’Reilly from Interpath said today they understand the significant concern and disruption caused by the receivership.
“We are working diligently across all areas of the business to manage what is a highly complex situation in an orderly and fair manner,” the receivers said.
“As a priority, we are following the appropriate legal and operational processes to safeguard assets, communicate with clients and support affected employees, contractors and retailers,” they said.
“Every effort is being made to ensure that parcels currently held within the network are handled in line with these procedures and that clear information to customers is provided as soon as possible,” they stated.
“We appreciate that this situation is frustrating for businesses, customers and staff, particularly given the timing and proximity to the busy trading period, and we ask for patience as we continue to work methodically through the issues to ensure the best possible outcome for all stakeholders,” the receivers added.
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