Transline, the company that managed temporary workers at Asos's Barnsley warehouse, has been replaced with immediate effect, BuzzFeed News has learned.
The controversial company, which was also at the centre of allegations about working practices at a Sports Direct warehouse and was criticised after giving evidence to MPs about precarious work, filed a notice of its intention to appoint administrators at a court in Leeds last month.
XPO, which runs the warehouse on behalf of Asos, confirmed that following the filing, "we decided in conjunction with our customer [Asos] to terminate the contract with Transline and appoint PMP Recruitment".
Sources told BuzzFeed News that staff on site were informed of the new contract on Tuesday.
The move was made to "ensure continuous employment for workers and site operations at Barnsley”, the XPO spokesperson said.
A court clerk told BuzzFeed News that Transline filed the notice on 20 April.
In response to reports this month that Transline was on the "brink" of collapse, a spokesperson for the firm said last week that it had "suffered" because of tight margins in the industry.
They added, however, that the company was "close to securing inward investment that will allow us to drive forward with continued growth and infrastructure development".
It is not clear whether the company has been able to do so, or whether Asos's switch to PMP is permanent. Transline also supplies workers to Sports Direct.
Speaking today, the Transline spokesperson said that while they could not comment on specific commercial agreements, the company had not ceased trading and continued to have "positive conversations with potential sources of investment".
"We will continue to keep all our employees and customers updated as the situation progresses,” they added.
Community, the union that represents workers at the Asos site, said it was "supporting members who are affected by the transition from Transline to PMP".
"We are also providing independent advice and representation to resolve any problems faced by our members following the transfer,” a spokesperson said.
PMP had not responded at the time of writing.
Sara Spary is a consumer business correspondent for BuzzFeed News and is based in London.
Contact Sara Spary at email@example.com.
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