Former Pimlico Plumbers boss Charlie Mullins has lambasted the maintenance firm’s new American owner after they axed the UK company’s popular apprenticeship scheme, as countless trainees were on the verge of qualifying.
Mr Mullins, himself a former apprentice plumber, founded Pimlico in 1979 before growing the company into a £50million-a-year plumbing, heating and electrical services giant.
The 72-year-old eventually sold the London firm to the tune of £140million to Neighborly, which is owned by private equity firm KKR, in 2021.
But now he has hit out at the firm’s new bosses for their recent move to get rid of their apprenticeship programme, which has trained more than a thousand youngsters since it first launched.
Mr Mullins has since revealed he regrets handing over the reigns of the company to the US private equity firm and has offered to fund a legal case by the 16 apprentices who are losing their jobs.
Trainees, some of whom were just months away from the point they should have become fully qualified, were offered just half a week’s pay for each year of employment, has been told – with one saying they’d received just £700.
Fabio, a 20-year-old plumbing and heating engineer, revealed he was just months away from completing his scheme when he was laid off.
He said Pimlico offered him half a week’s pay for each year he had been with them, which would have amounted to between £600 and £700.
‘We were working one day when we got a text and were told that our jobs were at risk,’ he said.
‘Everyone was really stressed out about it and been rushing to try and sort other work. No one in my college or anyone I’ve spoken to have heard of anything like this happening before.’
Twenty-two-year-old Luke, who is also set to begin with WeFix in June, revealed he had only two months left before he was due to finish his apprenticeship when the possibility of redundancies were announced by Pimlico in April.
‘I was actually on annual leave the day they scheduled the in office meeting to let everyone know, but I did receive a phone call from my manager after the meeting had finished,’ he said.
‘It was definitely a shock,’ he added: ‘It wasn’t a good situation but what I’ve ever really done is just to try and make the best out of a bad situation, and turn a negative into a positive.’
The apprentice, who had been working for Pimlico for three years described the situation as ‘frustrating’ as he was only a couple months away from sitting his final exam.
He said he was mainly concerned from a ‘financial’ perspective as he had completed over 75 percent of his apprenticeship, meaning under government guidance he would still be able to complete his qualification without an employer.
Explaining his worries and fears, he added: ‘It was more from a financial standpoint and for future building that I did go out and seek employment.’
Describing the moment, the redundancies were confirmed on May 2, he said: ‘It wasn’t as bad as it was when I received the initial news of the proposed redundancy because, I naturally decided okay I’m going to set plans for my future.
‘I knew where I stood. I think the more worrying part of the whole situation was not knowing whether you were are being made redundant or not. When you kind of didn’t know whether you were coming or going, that was a bit stressful.’
Reflecting on his decision to apply to WeFix, he said: ‘it’s a suiting company. They work in the areas that I’ve always been used to, and I just saw it as why would I apply anywhere else?
‘It was just probably going to be the best fit for me.’
Apprentices were first told they were at risk of losing their jobs during a meeting in April.
Afterwards a document later circulated largely laying blame on ‘increased operating costs’ resulting from the increase to National Insurance contributions and the minimum wage.
It also cited high energy costs and business rates, as well as the UK’s downgraded GDP growth forecast from 1.7 per cent to 1 per cent.
‘In summary, current economic conditions, government policy changes, and increased operating costs are all impacting Pimlico financially, hence the proposal to close the apprenticeship programme,’ the document stated.
Mr Mullins left school aged 15 with no qualifications before becoming an apprentice and starting his own business from a Pimlico estate agent’s basement.
The company became known for providing services London’s rich and famous it went on to boast annual sales of £50million.
Glitzy clients have included Liam Gallagher, Daniel Craig, Dame Helen Mirren, Joanna Lumley, Jonathan Ross and Chelsea footballers.
He has now set up a new home services company, WeFix, and taken on several of the apprentices who were made redundant.
Mr Mullins accused Pimlico’s new American owners of ‘greed’ and ‘destroying youngsters’ futures’.
‘This is all about bottom line. And I’m sure that there will be a saving for them, but the future loss will be colossal.
‘Without my apprenticeship there would have be no Pimlico and a lot of the guys we took on have gone on to run their own businesses too. So I’ve always been a big advocate for apprenticeships.
‘It’s damaging to them as a business and damaging to the apprentices who have put all this time and effort in.’
The entrepreneur disputed the claim by management that they had been forced to lay off the apprentices due to rising costs.
‘They say it’s because NI and the minimum wage have gone up. I’m not disputing that it makes things harder but you don’t necessarily cut down on people who are already in the company, particularly when many are towards the end of their programme.
‘These people are the company’s future. It’s also demoralised a lot of other staff, some of whom encouraged their relatives to join up who are now being laid off.
‘We took on apprentices within our first year of operation in 1979 and over 1,200 have gone through it. We’re not in a position to take all 16 of them on but we’re only taking a few.
Mr Mullins has previously insisted it was a mistake to sell Pimlico to Neighborly, and repeated this claim today.
‘I had other buyers but I picked them on the basis that they were the biggest, so I thought they would be a good outfit. I think this is about preparing the company for a sale.
‘I wouldn’t have sold it to them if I’d have known this was going to happen. I’ve learned in business now that many of these American companies aren’t interested in anything apart from the bottom line.
‘If these people want to get together and take legal action I will happily finance that.’
has approached Neighborly and Pimlico Plumbers for comment.