Business Irish

Saturday 10 December 2016

Liquidation of Clery's department store to cost taxpayer €2.5m

Published 27/08/2015 | 15:18

Staff and supporters protest outside Clerys on O’Connell Street, Dublin, last week
Staff and supporters protest outside Clerys on O’Connell Street, Dublin, last week

The taxpayer is to be hit with a €2.5m bill for the liquidation of Clery’s Department Store.

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The Department of Social Protection said redundancy payments to ex-Clery’s staff will amount to €2.5m.

The landmark department store on Dublin's O'Connell Street closed down in June.

Natrium, the company which bought Clerys from Gordon Bros this month, moved swiftly to put OCS Operations Ltd, which ran Clerys, into liquidation.

Kieran Wallace and Eamonn Richardson of KPMG were appointed as liquidators.

The closure of the Dublin department store resulted in the loss of 460 jobs.

The Department also confirmed that it would be attending the upcoming creditors meeting on September 1.

The Department said the estimated €2.5m is for both redundancy and insolvency payments schemes for a total of 130 employees.

The Insolvency Payments Scheme is a scheme to protect pay-related entitlements of employees whose employer has become legally insolvent

"We can confirm that the Department of Social Protection will be attending the creditors meeting to be held on September 1," a spokesperson said today.

"The estimated expenditure from the social insurance fund in respect of ex Clery's staff is €2.5m."

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