An iconic Glasgow bakery which collapsed into liquidation has begun to issue redundancy notices to staff.
Mortons Rolls ceased operations after 58 years earlier this month with some 250 people at risk of losing their jobs at the company’s manufacturing facility in Drumchapel.
On March 3, the company issued a letter to employees advising that “all jobs are at risk”.
Redundancy notices have been issued, however it remains unclear exactly how many employees have been affected.
It comes after a provisional liquidator was appointed to the bakery on Friday.
An email sent to employees read: “I regret to advise you that the company is no longer in a position to make payments for services rendered by you under its contract of employment with you.
“You should therefore regard your service as terminated, as from March 7 2023. A formal letter has been issued to your home address containing further details.
“The Provisional Liquidator is working alongside Skills Development Scotland and the Partnership Action for Continuing Employment (“PACE”). This is the Scottish Government’s initiative dedicated to helping individuals with the advice and support they need when faced with redundancy. Further information is contained with the letter.”
Last week, the Scottish Government met with investors in a bid to find a solution. Business minister Ivan McKee held the meeting on Thursday afternoon.
Politicians including Glasgow Labour MSP Paul Sweeney were among those to call for the company to be rescued.
He stated that “time is of the essence” to secure a lease for the factory and save jobs.
The famous brand could be saved from closure after a future deal with investors was teased on the firm’s website, but a number of job losses are expected.
An announcement on the Mortons Rolls website, posted on Friday afternoon, said: “Nae Rolls? Watch this space”.
A Scottish Government spokesperson said: “We are aware that the provisional liquidator has written to employees today. We will continue to liaise with relevant stakeholders to seek a solution that will allow the business to continue to trade in some form.
“The workers affected by any business ceasing trading are the immediate priority. The Scottish Government’s initiative for responding to redundancy situations, Partnership Action for Continuing Employment (PACE), contacted the company and the liquidator to offer to provide support to affected employees.”
They added: “PACE support is already available online and through the PACE Helpline. Two PACE Support and Jobs Fair events will be held at Partick Job Centre on Thursday March 16 and Friday March 17.”
Formed in 1965, Mortons Rolls began with the sale of morning rolls before branching out into baked goods.
The brand has become a Glasgow institution with many expressing dismay over the closure threat.
The administration news comes after the business announced a six-figure deal with Lidl in 2021 to provide rolls and other items and said they were making a significant investment in new machines and new jobs.
Mortons has been contacted for comment.