Mortons workers win £1 million payout after collapse

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Former workers at Mortons Rolls are to share more than £1m in compensation nearly two years after the Glasgow bakery plunged into administration. The settlement follows a prolonged legal battle on behalf of around 100 staff who lost their jobs when the long‑established firm abruptly collapsed in March 2023.

The Drumchapel bakery, known across Glasgow for its morning rolls, ceased trading with hundreds of employees told they were being made redundant. Days later, investors PVL stepped in to acquire the company’s assets after talks with HMRC, administrators and the Scottish Government, allowing production to restart and around half of the workforce to be taken back on.

Trade union lawyers at Thompsons Solicitors Scotland then launched action to secure compensation for those left without proper redundancy rights. After almost three years of proceedings, the UK Government has now agreed to a payout, with the first tranche of funds currently being distributed and some individual awards expected to exceed £20,000.

Employment lawyer Paul Kissen said: “The men and women who worked for Mortons, many who had been there for decades, have really been through the mill. Firstly they were dismissed by the company’s previous owners in a way that saw them denied proper compensation.

“Then the UK Government tried to deny their responsibility to the staff which held up compensation for almost three years. This victory has been hard won and we are now going to secure another £500,000 in protective award money for the workers.

“This is cash paid out when a company enters administration and sacks people without consultation. I know that the combined amounts totalling well over £1m will be of huge benefit to those who have suffered terrible hardship.

“Some long serving workers will be in line for payouts of over £20,000.”

Kissen described the outcome as a “hard won” victory for long‑serving employees who “had been through the mill” but had refused to give up their fight for justice. Campaigners say the case underlines the importance of enforcing workers’ rights when businesses collapse and ensuring that governments and employers meet their responsibilities.

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