600 Lose Their Jobs As Childcare Provider Goes Into Liquidation
One Plus, the after-school care and nursery provider, has gone into liquidation with the loss of 600 jobs and the collapse of a support network for hundreds of lone parents. Directors took a majority vote to put the charity into voluntary liquidation at an emergency meeting yesterday.
{mosimage}KPMG was last night understood to have been appointed liquidator and is scheduled to hold meetings with staff this morning where it is expected the vast majority will have their redundancies confirmed.
The closure also affects hundreds of volunteers and lone parents who rely on the organisation for support and advice. One Plus management estimates as many as 10,000 people use its services annually.
The Scottish Executive, which refused a rescue package of £2m to One Plus, is demanding answers as to what went wrong. It is understood the executive has been aware of the situation and believes the financial incompetence of the board of directors was responsible for the cash crisis.
Officially, it has said the One Plus refinancing package “just did not stand up”. A senior source at Glasgow City Council, the main client of One Plus, has also said it asked the authority for £3.5m in recent weeks. The council provided a £700,000 stopgap.
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