The Glasgow-based call centre AGO Outsourcing have announced their intentions to put the company into administration.
News of the planned administration was broken to call centre staff in an email on Wednesday morning. As per the Daily Record, company executives were believed to be in Monaco when the email was sent.
In what appears to be one of the first firms to fall victim to Nicola Sturgeon’s strict coronavirus measures, trouble at the firm started when the company was called out on its failed track and trace contract.
Whilst making a name for themselves as a provider of outsourced business services, AGO also offered debt recovery and data processing services, as well as marketing themselves as social media engagement specialists.
In the email to staff, operations manager Stephen Rafferty said of the administration:
“It is with deep regret that I must inform you that due to increasing pressure from creditors, low sales performance and overall impact to our working environment due to COVID-19, that we have reached the decision to enter the business into administration. We are currently in the process of appointing an administrator.”
The email added:
“The administrators will assume full control of the business, including all finances and assets and will aim to have any salary, notice and holidays paid to you as soon as possible.”
In June, the company had its contract offering shielding support to the UK Government retracted after they were found to have breached social distancing regulations within the office.
This led to SERCO cancelling the contract with immediate effect.
Accusations of unpaid wages
But this was just one of many controversies.
In October 2019, 50 members of staff accused AGO of unpaid wages, inadequate pension contributions, and incorrect tax deductions. Many workers claim they are still owed thousands of pounds.
However, these are accusations company bosses vehemently deny.
Established in 2017, AGO Outsourcing provided customer solutions for global SME and Blue-Chip organisations.
The now-defunct company focused interests in the automotive sector, energy & utilities, financial services, the public sector, and retail and telecommunications.
The news comes less than five months after the company was stripped of its COVID-19 government contract for the aforementioned breach in social distancing rules within the office.
The sub-contract with SERCO saw the Glasgow company ship valuable medicinal and food deliveries to people shielding from the coronavirus.
AGO’s biggest contract had been with Scottish Power.
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