Letterkenny Fastway Couriers franchise owner left ‘totally disgusted’ by treatment

The owner of the Fastway Couriers franchise in Letterkenny has said he has been left “totally disgusted” by the manner of the company entering receivership.

The parent company, Nuvion Group, which also owns Parcel Connect and Nügo, ceased trading after entering receivership last week.

Stephen Doherty was still out delivering parcels in Letterkenny on Tuesday afternoon when the news broke that the receivers were at his premises.

Mr Doherty, who bought the Letterkenny Fastway franchise around seven years ago, says the collapse has left him “disgusted” and fearing for his future.

“I had four men out working for me on Tuesday and we will never see a penny now for the work done that day,” he told Donegal Live.

“The next thing is about 4 o’clock in the evening, two receivers land in with a security guard and basically said, ‘we’re taking over’. Any goods in the vans were to be left at the door and that was that.

“There was a rumour going around a couple of weeks ago and we asked management about it, but they said they heard nothing about it. I was very shocked on Tuesday. We just weren’t expecting it at all.”

Receivers Mark Degnan and Brendan O’Reilly of Interpath Advisory have been appointed to oversee the process. An internal message sent to staff confirmed that employees would not be paid beyond last week and should only attend work if requested.

Mr Doherty employed four people directly and worked with several contractors across the county. A range sole operators and sub contracts are affected by the development. 

The company cited inflation, rising operation costs and price pressure in the market, saying they have made the business “no longer viable” in its current form. Delays and disruption are expected and the receivers say they will work with retailers to “minimise” these delays.

He said: “It is shocking the way we have been treated. I am totally disgusted with the treatment. It really is ridiculous. 

“If this was some big tech company, they would be looked after by the government. With us, they’re just allowed to pull the shutters and run.”

“I paid over €15,000, plus VAT, for the franchise and that was paid up front before a parcel was delivered at all. Some people worked two weeks in-hand, but I worked four weeks in-hand. For a start, that’s four weeks’ wages that I won’t see. We won’t get paid for work that was done in the last couple of weeks.”

Behind the figures are people, who have suddenly found themselves without income and without warning.

He said:  “It’s not human what’s going on. There are livelihoods at stake here. One person in there has had their house toppled due to defective blocks and had to take a loan out, while another employee bought a new van in the days before the receivers landed.”

Mr Doherty has been forced to contact the leasing company for his own vans to plead for clemency and the suddenness of the shutdown has left him in a state of shock.

He said: “If nothing is coming in, there is nothing to go out. Everyone knows about it so I am hoping that they will be a wee bit understanding.”

“I just hope to get my head back in the right direction again I was in on Tuesday with four men working for me and there I was signing-on on Thursday. That really hits it home.”

A meeting held earlier this week for PAYE staff provided little comfort, with employees told they could not accept another job for 30 days and that redundancy payments may not be issued until February or March.

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Local businesses have also been hit. Letterkenny-based CBM Signs had sent out orders via Fastway on Tuesday afternoon only to find the depot shut down later that day.

“The receivership would not give back our orders back which I personally thought was very bad form,” a CBM spokesperson said. “I felt sorry for the staff and self-employed drivers who had no idea of this closure. One of them had just taken delivery of a brand new van ahead of the Christmas rush.”

CBM say they will now appoint a new courier and that it will be “business as usual.”