Ethel Austin in administration again
Homeware and fashion retailer Ethel Austin has been placed into administration for the fourth time since 2008, putting 500 jobs at risk.
Ethel Austin, which also trades as Life & Style, was bought out of administration in 2011 by Ashloch, a company founded by former Blackwells bookshop chain director Sue Townsend. However, the company announced yesterday that it had appointed Duff & Phelps as administrators to the business following a marked downturn in sales.
Duff & Phelps said they will continue to trade the 48-strong chain while seeking a buyer for the business although they did not exclude any redundancies or store closures.
Joint administrators Philip Duffy and Sarah Bell said: “The joint administrators are urgently reviewing the company’s financial position but, while doing so, are continuing to trade the business while seeking a purchaser.
Never Miss a Retail Update!“At this stage redundancies and/or store closures affecting the company’s circa 500 staff cannot be ruled out.
Retail union Usdaw has expressed its dismay at the announcement that Ethel Austin has gone in to administration for the fourth time in as many years.
National officer John Gorle said,“You have to feel for the staff in what has become an intolerable situation.
“I have contacted the administrators on pay, pension contributions and the immediate prospects for the workforce.
“This has been a tortuous four years for the workforce which numbered 3,000 in 2008. We can only hope a buyer with the experience and financial wherewithal to take the company forward can be found. In the meantime we will be doing all we can to protect our members’ interests.”
