Samko & Miko Toy: Bankruptcy Announcement

Samko & Miko Toy: Bankruptcy Announcement

What Led to the Closure of Samko & Miko Toy Warehouse?

In a sad turn for Ontario’s toy retail landscape, Samko & Miko Toy Warehouse, a longstanding institution known for its family-oriented approach and deep discounts, is bidding farewell after six decades of operation. Following in the footsteps of its industry peers, such as Mastermind and Toys, Toys, Toys, Samko & Miko has succumbed to the challenges posed by a rapidly evolving retail environment.

The decision to shutter shop comes as no surprise given the prevailing difficulties in the retail sector, which have only been exacerbated by recent economic uncertainties. With a heavy heart, the owners have announced the closure, citing the need to adapt to a “changing and challenging retail landscape” as the primary reason behind their unfortunate fate.

What Can Customers Expect from the Final Liquidation Sale?

However, amidst the somber news, there’s a silver lining for bargain-hunting toy enthusiasts. In a bid to bid farewell in style, the company’s remaining inventory will be up for grabs in a one-time liquidation sale. Offering over $850,000 worth of merchandise spanning an array of beloved brands like Disney, Mattel, Hasbro, and more, the sale presents a final opportunity for customers to snag their favorite toys at unbeatable prices.

Auctioneers will oversee the bidding process, ensuring each item finds its way to the highest bidder, with no minimum price set. The online auction commences on May 16 at 10 a.m. and continues until May 23. Additionally, an in-person preview is scheduled for May 22 at the company’s premises on 381 Kennedy Road, Door #12.

How does the Bankruptcy Impact Samko & Milo Toy Warehouse Employees?
Samko & Miko Toy Warehouse’s declaration of bankruptcy has significant implications for employee severance. For those affected, it’s an immensely stressful period characterized by job loss and uncertainty regarding severance payments. Some employees may find themselves not only without a job but also facing the challenge of recovering unpaid wages accrued prior to the bankruptcy.

Despite the bankruptcy, Samko & Miko Toy Warehouse is still obligated to fulfill severance and unpaid wage payments to its employees. However, the reality is often harsh for employees in such situations. They become unsecured creditors in the eyes of the bankrupt employer, prioritized behind other creditors such as government tax agencies and secured creditors like banks.

To provide some support, the federal government has implemented the Wage Earner Protection Program (WEPP). This program aims to assist employees of bankrupt companies who are owed outstanding wages. WEPP offers a limited amount of unpaid wage coverage. Additionally, for formally terminated employees, WEPP typically covers termination pay and owed severance. It’s crucial for employees to note the timelines associated with the WEPP program and seek advice from an employment lawyer promptly to comprehend their rights and responsibilities.

How Can Experienced Employment Lawyers Help?
When faced with the challenge of navigating a bankruptcy involving your employer, it’s essential to consult with a proficient employment attorney. At Whitten & Lublin, our seasoned professionals are committed to providing tailored guidance and support tailored to your specific needs. If you’re struggling with the intricacies of employer bankruptcy and require legal aid, contact Whitten & Lublin through our online platform or by calling (416) 640-2667.