Media 43: an ethically motivated press would focus on the damage repeatedly done by so-called ‘turnaround’ companies

The business press focusses at length on ‘systemic problems – the costs and mechanics of parcel delivery – following the collapse of City Link, after its nominal purchase by Jon Moulton’s private equity company, Better Capital.

Ethical media would be moved to focus on the damage repeatedly done by so-called ‘turnaround’ companies, underpinned by a government which decrees that the taxpayer will shoulder private equity’s responsibilities and come to the aid of jettisoned employees.

jon moulton city link

Thousands of employees and sub-contractors were faced with an uncertain future on Christmas Eve; see an earlier post.

The speculator will be paid before the employees who have actually done work for the company.

Administrator Ernst & Young said that it would be referring employees to the government’s statutory redundancy payments scheme because “the company is insolvent and unable to meet these payments”. Mick Cash, general secretary of the RMT union, has deplored the fact that a former donor to the party of government can walk away and leave the taxpayer to pick up the redundancy costs.

How many of these injustices will be rectified and how many subsidies received by the so-called private sector before electors demand change?


Posted on March 14, 2015, in Democracy undermined, Economy, Finance, Government, Media, Parliamentary failure, Party funding, Planning, Reward for failure, Taxpayers' money, Unemployment and tagged , , , , , . Bookmark the permalink. Leave a comment.

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