Global Pallet System (GPS) is suspending operations for four weeks to “regroup and re-establish the network”.
Managing director Graham Thomas says the move was confirmed yesterday morning, and the network’s members informed shortly after.
In an email sent to GPS’ membership, Thomas outlines the need for “a period of consolidation”, saying that an infrastructure was needed “which to date has not been put in place”. But he promises the network will come back “with the right investment and the right plan”.
GPS has gone through a difficult period after founder and ex-CEO Mike Chamberlain stepped down from the network due to ill health on April 9. Motor Transport has had confirmation that members have pulled out, including Kings Transport and Professional Handling Withcare, along with subsidiary company JGB Transport, which went into liquidation this week.
Chamberlain says he and his son Stephen are no longer actively involved in the fledgling network, which began trading last month.
GPS was suffering from a lack of organisation and an administration shortfall, Thomas tells MT. “It’s dropped to an unsustainable level. We’ve got a few gaps [in coverage].”
Thomas concedes GPS was “failing to a certain extent”, but is adamant that the suspension is temporary. A managerial meeting is scheduled for Monday.
He says he has full backing for the suspension from Chamberlain and the network’s members. “They fully understand,” he states.
GPS opened on March 19, shifting 415 pallets on its first night.