Fastway workers will have to wait months for monies owed due to the complex receivership process

The nature of the Fastway business, with its various layers of employment, will make the examinership process more complex. 

Workers at Fastway Couriers may have to wait until at least March of next year to receive money and pay that is owed to them under what is being described as a complex receivership process.

Hundreds of workers were informed in group meetings and online calls this week of the process now in place after the Nuvion Group, which includes Parcel Connect, Fastway Couriers Ireland and Nügo has today entered receivership.

Fastway alone employed approximately 300 people directly, with a further 600 through a variety of franchisee roles, along with contract and part-time workers.

In calls with the company's examiners, workers were told the complex process would mean it could be into March of next year before any outstanding payments can be made. It is understood that the calls with receivers heard emotional calls from workers of the pressures they will now be under heading into one of the costliest periods of the year for households.  The Irish Road Hauliers Association, which represents some of the drivers, said some workers were owed up to €100,000.

It is understood that the chances of a buyer coming in to continue operating the business are unlikely. The nature of the Fastway business, with its various layers of employment, will make the examinership process more complex. 

In a statement on Friday, Joint Receivers Mark Degnan and Brendan O’Reilly from Interpath said they were working diligently across all areas of the business to manage what is a highly complex situation in an orderly and fair manner. “As a priority, we are following the appropriate legal and operational processes to safeguard assets, communicate with clients and support affected employees, contractors and retailers. Every effort is being made to ensure that parcels currently held within the network are handled in line with these procedures and that clear information to customers is provided as soon as possible.

“We appreciate that this situation is frustrating for businesses, customers and staff, particularly given the timing and proximity to the busy trading period, and we ask for patience as we continue to work methodically through the issues to ensure the best possible outcome for all stakeholders.”

Coming so close to the end of the year, which is the busiest time for courier services with Black Friday and Christmas seeing a surge in online purchases, the examinership process for Fastway came as a surprise to many. Fastway was an authorised postal service provider for the postal services and came under the regulation of the communications watchdog, ComReg.

However, Fastway did not inform ComReg of its receivership with the regulator having to make contact with Fastway to seek urgent information on its postal services. 

The difficulties faced by Fastway highlight the challenging and competitive environment courier companies are operating in.

Just two years ago the Nuvion Group announced a €5m investment in a new Cork depot at Little Island covering 44,000 sq. ft., making it the second largest courier base in the country. 

It followed a move in January 2022 by Fastway to move its head office and South Dublin operations to a new state-of-the-art 120,000 sq. ft facility, in Rathcoole.

Today, staff are facing a far bleaker outlook. The Minister for Social Protection, Dara Calleary issued a statement saying supports are available to workers and affected contractors at The Nuvion Group.

"My Department has already been in contact to offer information on the supports that are available to assist employees of The Nuvion Group and other who may be affected over the coming months," he said.

“These include a range of income supports, and assistance to move to alternative employment, or to access appropriate education, training, and development options."