300 jobs at risk Leeds law firm owners Fairpoint
Up to 300 jobs at listed consumer professional services company Fairpoint Group and its legal subsidiary Simpson Millar are under threat.
About 100 staff at subsidiary Leeds-based law firm Simpson Millar at offices in Old Trafford, Manchester and Leeds are also at risk. Its Newcastle site could also close.
Some 200 staff at the company’s headquarters at Adlington in Lancashire have been told they are at risk of redundancy, with the site set to close in June.
The affected staff work across the company’s Debt Free Direct, Writefully Yours and Clearstart Partnership brands.
The news has shocked staff at Fairpoint, which announced in November the success of Simpson Millar – acquired two years previously – had triggered a further £3m payment for the business in addition to the £7m originally paid.
In September, Fairpoint announced flatlining profits at £4m but a 24% growth in revenue to £28.2m for the six months to June 30, 2016.
An employee who did not wish to be identified told TheBusinessDesk: “We are devastated. We thought the company was doing really well.”
A spokesperson from Fairpoint Group said: “We can confirm that we have communicated with staff that the group has entered a consultation process to agree certain structural changes.
“This process reflects the group’s previous announcements that its debt management business will be closed in early 2017, that its core strategic focus going forward would be on its legal services business, and also reflects the group’s plans to mitigate the impact of the recently announced reduction in expected trading performance.
“However, until we have undertaken that process and agreed the structural changes we are unable to provide more specific details.”
