The Communisis Defined Benefit (DB) Pension Scheme is set to enter the Pension Protection Fund (PPF) assessment period, although discussions are underway to deliver a "much improved" long-term outcome for members, the scheme trustee has confirmed.

Interpath Advisory was previously appointed as joint administrators of Communisis Limited after it entered administration in December 2023, having also been appointed as the joint administrator for Communisis UK, Communisis Digital and Communisis Data Intelligence.

Immediately following their appointment, the joint administrators completed a sale of the shares of the brand deployment (BD) business and certain assets of the customer experience business to Paragon Customer Communications.

However, with certain operations ceasing at the group’s facilities in Liverpool, Leeds and Cramlington, 638 employees have been made redundant.

The group's DB pension scheme has also entered the PPF's assessment period following the insolvencies, according to the scheme trustee, Vidett.

Despite this, Vidett suggested that there are hopes that an agreement with the joint administrator could deliver a better outcome for members in the long term.

Vidett client director, Kevin Dolan, stated: “The trustee has been liaising closely with Interpath over recent weeks and negotiated an agreement which it is anticipated will result in a much improved outcome over the longer term for scheme members.

"For now, the scheme has entered a PPF assessment period in light of the insolvencies of the sponsoring employers and the trustee and the PPF are working together considering various options in relation to the way forward which will be communicated to members when it is feasible to do so.”

Adding to this, Interpath Advisory managing director and joint administrator, Stephen Absolom, stated: “First and foremost, we recognise that this will come as a devastating blow to those Communisis workers who have been impacted by redundancy.

“Our immediate priority will be to work with all affected employees to ensure that the full range of support is available to them.

“We will be making contact with Communisis’ key competitors, customers and other companies who work in this space to enquire around possible employment opportunities for staff.

"We will collate all relevant information, including contact details such as telephone numbers and hotlines, and we will also be speaking as a matter of urgency with the Job Centre Rapid Response Unit.

“We are also liaising with the Insolvency Service in relation to the timing of redundancy payments via the Redundancy Payments Service.”

A PPF spokesperson also offered reassurance to members, stating: “We’re aware of reports that Communisis has entered administration and expect to shortly confirm the Communisis DB Pension Scheme has entered the PPF assessment.

"We understand this must be a worrying time and we’d like to reassure members that we’re here to protect them, and we will work closely with scheme trustees to ensure the best possible outcome for members.”

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