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Advice for former staff of collapsed firm Tuffnells Parcels Express who are seeking redundancy and other related payments has been issued by the Insolvency Service (IS).

It said individuals who had an employment contract with the business are eligible to apply for redundancy from the IS but that workers and self-employed contractors who provided services to Tuffnells are not eligible.

Instead, the IS advised that these individuals contact the administrator, Interpath Advisory, to register as a creditor.

In a statement on its website, the IS said: “On average it takes 14 days to process and pay claims.

“However, sometimes we need to get additional information from the individual or from the administrator, which can take a bit of time. We’ll contact you directly if we need anything further from you. We always try to pay eligible claims within six weeks of receiving the application.

“To allow us to deal with everyone’s application as quickly as possible, please do not contact us to check the status of your application until after the six weeks have passed,” it added.

Meanwhile, anger among staff made redundant by Tuffnells grew this week, particularly after DX announced shortly before the administration that it had reached “a full and final settlement” with the parcel firm in relation to alleged corporate espionage claims.

In an online petition demanding the government investigate the circumstances surrounding the firm’s collapse, one former worker said: “Not only was there no consultation, [there was] no redundancy and no last pay packet.

“We poured our heart and souls into Tuffnells just to get treated like this.”

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Another said: “Monday was a day I will never forget. Standing there along with all my Tuffnells family, listening to that horrendous statement, read out by two administrators who showed no sympathy whatsoever as we were told that we no longer had a job, only then to have salt rubbed in our wounds by telling us we also won’t be getting any more payment.

“Absolutely disgraceful. Everyone has worked so hard for that company to be treated like this.”

Sheffield City Council said 347 people in the city, out of the 2,200 staff employed nationally, would be affected by the closure and that a ‘Rapid Response Service’ had been put in place to support staff.

Councillor Martin Smith said: “The closure of Tuffnells will be concerning for many residents, particularly those who have lost their jobs.

“To support people who have been made redundant, the Rapid Response Service will be rolled out, which will support people to find new work in their sector. This vital service will help give people the confidence and knowledge they need to rebuild their careers following the sad news of the Tuffnells closure.

“Across Sheffield and the wider South Yorkshire region there is demand for drivers, administrators and warehouse staff so we are optimistic that there are opportunities for those who have lost their job at Tuffnells to find new employment that suits their skillset.”

A spokeswoman for Interpath Advisory said it would not be making any comment in relation to the DX settlement.

She added: “We recognise this is a very difficult time for Tuffnells’ employees. Following their appointment on Monday morning, the administrators and their team have been providing support to those employees impacted by redundancy.

“This has included providing individuals with the information and guidance they need to be able to make claims for monies owed, including wage arrears and holiday pay, from the Redundancy Payments Service.”