The Pharmacists’ Defence Association has said the decision by the company formerly known as Lloyds Pharmacy Limited to change its name last year to Diamond DCO Two Limited ahead of apparent plans to begin liquidation proceedings has complicated the progression of claims from ex-employees for redundancy payments and other employment issues. 

The PDA said some former LloydsPharmacy pharmacists who have started employment tribunal proceedings against the company were sent a letter by “a firm of licensed insolvency practitioners” last month “advising them of the plans of DCO Diamond Two Limited to commence liquidation proceedings.” The PDA Union said it also received “a similar letter.”

The PDA said the letter appeared to prove that having sold LloydsPharmacy’s high street network, “the new owners have opted to place the company, which is liable for matters relating to the former branches, into liquidation.”

Describing that as a “disappointing development which complicates the progression of any claims,” the PDA said: “In light of this development, we will need to assess what this means for the many claims that (we are) supporting members to bring against the company for the failure to pay enhanced redundancy and other employment issues.” 

The PDA said it would continue to assess the situation. Diamond DCO Two Limited’s total debt is not known as its latest accounts are overdue, according to Companies House. Diamond DCO Two Limited has been contacted for comment.

The PDA has been supporting about 100 former Sainsbury’s pharmacists in their legal claim against LloydsPharmacy over what they regard as the company’s failure to uphold their redundancy rights under TUPE legislation.