Workers at failed children’s retailer Pumpkin Patch have discovered their insurance cover could be void after the company receivers confirmed the retailer had not paid workers’ insurance premiums for the year August 2016 to August 2017.

Documents obtained by FIRST Union indicate that if the insurance provider confirms coverage for workers has lapsed then the receiver doesn’t intend to correct the botch-up and renew insurance cover.

Yesterday, the receivers of Pumpkin Patch  confirmed that the failed childrenswear retailer had failed to attract a buyer and will begin to wind down the business this week.

Receiver, Brendon Gibson from KordaMentha said that without a serious expression of interest being received, there was no choice but to sell all stock and wind down the business.

“Honestly things are going from bad to worse for head office and distribution centre workers at Pumpkin Patch,” said FIRST Union organiser Lisa Meto Fox.

“As if job losses weren’t enough, now those who had insurance cover paid for by Pumpkin Patch have learned they might not have coverage after all. If this is the case that means people are going to miss out on things like health insurance.”

“This reinforces the need for redundancy payments to help support people who are being put out of work. The receivers should do the right thing and commit to meeting all of the workers’ entitlements.”

The union said it is taking legal advice on what court actions it could take to secure workers’ entitlements.

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