Former Cath Kidston staff say they have been 'betrayed' after its owners refuse to cover redundancy pay

By Daily Mail City & Finance Reporter

Published:

Former Cath Kidston staff say they have been 'betrayed' after its owners refuse to cover redundancy pay

By Daily Mail City & Finance Reporter

Published: | Updated:

Former Cath Kidston staff say they have been 'betrayed' after its owners refused to cover redundancy pay. 

The high street fashion chain went bust on Tuesday, leading to 60 stores and more than 900 jobs being axed. 

Beloved: Broadcaster Fearne Cotton, pictured as a brand ambassador at a Cath Kidston event

Beloved: Broadcaster Fearne Cotton, pictured as a brand ambassador at a Cath Kidston event

But bosses at its owner, Barings Asia, are withholding redundancy pay from staff, some of whom have been with the firm for a decade. Instead they have been been told to apply for government handouts. 

The chain was beloved of celebrities such as chef Jamie Oliver's wife Jools and broadcaster Fearne Cotton. 

The row comes after the private equity firm was blasted for refusing to pay staff for the three weeks after stores closed – a decision it has now rowed back on. 

Barings, which first acquired the brand in 2016, has dumped stores and bought the online operations back as part of a 'phoenix' administration. Former staff said the way they had been treated was 'disgusting'. 

Store manager Helen Owen, 35, said: 'They wanted to get rid of us without paying redundancy. Everyone feels betrayed.' 

Another staffer, Alison Murdock, said: 'Barings are leaving chaos. I'm so angry.' 

In a statement, the chain said it was always its intention to pay employees for the period of April 1 to April 20.

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