Fury as Abandon Ship staff made redundant despite assurances jobs were safe

Staff working at MacMerry's Abandon Ship bars in Glasgow and London were told earlier this week that both sites would be closing and they were being made redundant, with the group's boss, Phil Donaldson, blaming 'extremely challenging' trading conditions.

It comes after the Dundee-based MacMerry300 group, which operated bar brands including Abandon Ship, the Luchador, the Draffens and the Bird and Bear, fell into liquidation late last month​​.

Initially it was thought all of the company’s 63 staff would be made redundant, but Unite Hospitality subsequently reported that all staff members were to be re-employed by Belford Ltd, which took over ownership of the MacMerry300 estate​​ and is led by AJ McMenemy, who co-founded MacMerry300 with Donaldson in 2010.

However, on Monday (4 July), Donaldson emailed staff working for Abandon Ship's bars in Glasgow and London to tell them they were being made redundant with immediate effect. The email, a copy of which was posted to Unite Hospitality's Instagram account​​, revealed that staff will receive a statutory one week notice period.

“Despite reassurances verbally and in writing that 'nothing is changing' for staff at Abandon Ship bars, Phil Donaldson has just issued redundancy notices to all staff at both sites confirming to me that he has no intention of carrying out a genuine or meaningful consultation with those workers in accordance with well established employment law,” Bryan Simpson, Unite's hospitality organiser, told the ​​Daily Record​​. ​

“This is a new low for a company and a former director who continues to run roughshod over the most basic of workers rights.”

Earlier this year, MacMerry300 was accused of “systemic mistreatment” of its staff​​, in a collective grievance signed by both current and former employees.

Unite compiled a seven-page complaint released in January 2022 that included allegations that the company neglected to inform staff about potential close contacts with those testing positive for Covid-19; and that staff awaiting PCR test results were expected or felt pressured to come to work until their results were official.

At the time, a spokesperson for MacMerry300 described the list of complaints as 'frankly bewildering'.

Despite dozens of staff signing the grievance alleging company-wide misconduct, the Daily Record ​reports​​ that Donaldson has blamed ongoing press examination of his company's treatment of workers for the closures.

“It’s a very sad day for myself and the team as we have put many years into building and creating this bar brand and those two sites,” Donaldson said on Monday.

“I am devastated for everyone who has been involved along the way and now for the staff that will be made redundant.

“Due to extremely challenging trading conditions we are no longer in a position to carry on trading at these two venues. Coming out of Covid, the rise in commercial bills and product prices mixed with the constant barrage of negative press from the newspapers it has become impossible to carry on trading at these two sites.

“All the staff being made redundant have worked for Belford throughout their employment at the two sites. The sites will remain closed until a new tenant can be found.”

When asked why staff had been told their jobs were safe only to be sacked less than two weeks later, he added: “In business, when the outgoings outweigh the incomings for too long something has to give. Sadly that has been the case at these two particular sites.”