First Union general-secretary Robert Reid said despite earlier assurances from the receivers, Pumpkin Patch’s payroll office had advised staff they would continue to make deductions from wages for the shares.
He said staff were outraged.
However, later yesterday, after meeting the receivers, Mr Reid said they had agreed to repay the latest deduction, and no more would be made.
Pumpkin Patch had more than 190 outlets employing more than 2000 staff, across New Zealand, Australia and Ireland.
For its year to July, Pumpkin Patch had become overburdened with debt, which escalated to $40 million, and it posted a $15.5 million loss, prompting the ANZ to tip the company into receivership and its board to appoint voluntary administrators.
Mr Reid said the deductions had added "insult to injury" after head office and distribution centre staff were told they would not qualify for redundancy because the company they were employed by held no assets.
Floated in January 2007, its shares initially traded at $4.95, but plummeted to 26c last November, and last traded at 6c.
● A creditors’ meeting is due to be held in Auckland on Monday.
