Sungevity’s insolvency shows in employees’ checks

Sungevity has not gone down gracefully.

The troubled residential solar company filed for bankruptcy on Monday, four days after laying off an estimated 400 employees without notice or severance. However, this appears to be only the beginning of the difficulties for the company’s former workers.

Today several former employees from Sungevity’s Kansas City office notified pv magazine that their final checks from Sungevity have bounced. One of these workers produced a screenshot of an apology email from the company, promising that it will “find a way to remedy”.

The checks were from a California bank, and sources are also reporting that former workers in Oakland have been affected, although none of these have contacted pv magazine directly.

This incident shows an even further gulf between the company’s claim that its operations would “continue uninterrupted” and the reality of the financial situation at Sungevity. The company appears to be waiting on $20 million from Northern Pacific Group, which is planning to acquire the company as the “stalking horse bidder” in a formal auction.

Former employees are also reporting that they were not paid for vacation they did not take, and are waiting until the end of the month for their final commission checks, which for some sales team members are reported to be worth thousands.

Sungevity did not respond to pv magazine requests for comment by press time. Former employees have additionally reported an outpouring of support from the solar community, including other national solar companies.