Reprieve eyed by workers laid off on Christmas Day

The trade union battling to save the jobs of delivery workers that were notified of their redundancy on Christmas Day has claimed that a "credible bid" for the company could be in the offing.

"Within the past 24 hours, RMT has been made aware of what we believe to be a credible bid to take over some or all of the City Link's trading operation," said Mick Cash, the head of RMT, the union that represents some of the workers due to be laid-off from collapsed U.K. courier firm City Link.

Cash's statement on Wednesday came after City Link notified more than 2,000 workers of impending redundancies via email on Christmas Day. The union head called on administrator E&Y to suspend the redundancy process and work to keep City Link trading as a "going concern."

E&Y was not immediately available for comment when contacted by CNBC.

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Ben Stansall | AFP | Getty Images

City Link is expected to send formal redundancy letters to workers on Wednesday in what is due to be the last day for many at the company.

RMT has claimed there was "absolute chaos" at company depots, with some staff told in pre-dawn meetings that their jobs had been "destroyed on the spot."

"The staff are angry and disgusted and up for a fight and RMT remains determined to do all in our power in the battle for justice for the City Link workforce," the union said in a statement on Monday.

Investment firm Better Capital, which owns City Link, said that a "continued lack of profitability" meant the company had to enter administration, adding that it regretted the impact on workers.

Better Capital has also defended the timing of the announcement, saying a leak in the media meant the announcement had to be pulled forward to Christmas Day from December 26.

A protest is due to be held outside City Link's main depot in the Midlands city of Coventry on Wednesday afternoon.

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