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Insider UK
Insider UK
Business
Peter A Walker

Scottish pub group goes bust with 63 jobs lost

Macmerry300 has appointed administrators and ceased trading, with all 63 staff made redundant.

The company, which was incorporated in April 2014, operated 11 bars located in Dundee and Glasgow.

Due to the detrimental impact of Covid-19 restrictions on trading performance, along with cost pressures and recent reports alleging mistreatment of staff, it incurred losses, which resulted in substantial liabilities being accrued.

With significant financial pressure being faced, in early June, the director resolved that Macmerry was insolvent and should be wound-up voluntarily.

The pub chain received more than 60 complaints relating to poor practice and ill treatment of staff - including claims they did not deal with sexual misconduct matters and Covid outbreaks.

Run by Phil Donaldson and AJ McMenemy, Macmerry includes Dundee bars the Draffens, the Bird and Bear, as well as the Luchador in Glasgow. The two entrepreneurs also run the Abandon Ship bars in Glasgow and Dundee with Richard Davies.

The Daily Record had previously detailed how more than 70% of their current workforce signed the collective grievance, accusing the firm of breaching health and safety and Covid rules, not paying staff properly and of sexual impropriety by several staff.

The company instructed Blair Nimmo and Geoff Jacobs from Interpath Advisory to convene the necessary meeting of members and to assist with the creditors’ decision to place it into liquidation.

It is understood that a transfer of certain assets took place in May. Accordingly, with no available funding and certain of the company’s assets having been sold, the liquidators were forced to make all staff redundant upon appointment.

Interpath chief executive Blair Nimmo said: “This is unfortunately a further example of a business within the hospitality and leisure sector being unable to withstand ongoing testing trading conditions, as the re-emergence from Covid-related restrictions continue against a backdrop of accumulated debt.”

Jacobs added: “Our immediate priority will be to assist employees with their claims to the Redundancy Payments Office, as well as safeguarding any remaining company assets and ascertaining from the director the circumstances under which the recent transfer of assets occurred and carrying out appropriate investigations.”

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