The 35-strong workforce at Glossop-based Sprintdeliver Ltd have been made redundant this week after the company was put into administration.
Financial pressures due to the impact of the Covid-19 pandemic on trading and difficulties in attracting and retaining Heavy Goods Vehicle (HGV) drivers have been blamed.
Neil Morley and Howard Smith from Interpath Advisory were appointed Joint Administrators on Tuesday.
The business ceased to trade prior to the appointment of the Joint Administrators. With no prospect of trade resuming, the workforce was made redundant following the Administrators’ appointment.
Neil Morley, Director at Interpath Advisory and Joint Administrator, said: “Haulage companies up and down the country are currently facing significant challenges, not least an acute shortage of HGV drivers, which in turn is resulting in increased wage costs and higher staff turnover.
“Unfortunately, these challenges proved to be insurmountable for Sprintdeliver, prompting the director to take the difficult decision to place the Company into administration.
“Our priority in the coming days is to assist the employees in making claims to the Redundancy Payments Office, while we also seek buyers for the Company’s business and assets.”