Clementine West working at CallActive which was officially opened by the Prime Minister in Wellington.in 2013.

A call centre operator that had hopes of bringing thousands of jobs to Wellington has folded, leaving about 60 staff members without work – and out of pocket – just weeks before Christmas.

Workers at Wellington's CallActive say they were told on Friday by tearful managers to hang up their headphones, take their belongings and immediately leave their Willeston St office.

The workers have since been told that any payments of annual leave entitlements would now be decided by liquidators.

SUPPLIED John Key with Call Active staff Prime Minister John Key opened CallActive House on October 1, 2013, along with then Wellington City Councillor John Morrison, and CallActive CEO Rick Allan.

Staff have described chaotic scenes of stunned employees walking out with company televisions and laptops moments after the shock announcement.

The Australian-owned company was set up to much fanfare in the capital in October 2013, with company director Rick Allan proudly predicting the creation of up to 2000 jobs for Wellingtonians.

Australia-based Allan brought the company to New Zealand following a chance meeting with then Wellington City Councillor John Morrison, who became CallActive's business development manager after failing in his bid to become Wellington mayor.

SUPPLIED Workers at the opening of CallActive in Wellington two years ago.

Allan said on Sunday that he and his co-director brother Phil Allan were reeling at the company's closure.

"All I can say is that we are devastated. We've lost our family business of 40 years. We've always tried to do the right thing."

Allan said the company's lawyers had appointed liquidators after bowing to "global pressures" associated with trying to compete with Asian-based call centres.

"It's really unfortunate what's happened in Australia and New Zealand... unfortunately that's closed the door after everything we've tried to do in New Zealand."

Several workers have since claimed they were told here was no money to pay them for the week they had just worked, and were told to take things.

However, Allan said workers had been paid on Thursday – but any annual leave entitlements owing would have to be considered by the liquidator.

He planned to complain to police about workers taking office equipment.

"We've been told there was stealing things and looting things."

CallActive's Willeston St office was opened by Prime Minister John Key in 2013.

Allan said at the time he had chosen to set up shop in New Zealand as the workforce – while not cheaper than Asia's – was still less expensive than Australia's.

The similarity in accents was also ideal for call centre work.

CallActive's floors were designed to accommodate 182 staff members, and it had rights to lease enough space to expand to 500 employees.

By Friday, it had about 60 staff members, workers said.

Asked what went wrong, Allan replied: "We've done the best we could in a very difficult situation. We're devastated. Unfortunately it's a very tough market."

Morrison said on Sunday he had done consulting for CallActive but had not worked with them since earlier this year.

It would be "inappropriate" to comment on job losses that he was unaware of, he said.

Wellington mayor Celia Wade-Brown said she had heard of the closure, but maintained there was still a future for such businesses in the capital.

"It's really tough on the staff a month before Christmas," she said.

Industry expert John Chetwynd, from Telnet, said the industry was in good shape.

"We are doing very well."

His company, which is based in Auckland, had been taking business from Australia and recently took back some work that had gone to Manila in the Philippines.

WORKERS OUT OF POCKET

CallActive worker Mikaela Bull said a tearful manager broke the news to "shocked" Wellington staff on Friday.

"She came round to everyone and said 'Log out, take your stuff, and leave right now.' She had us in the middle and she just said 'CallActive is done.' "

"We expected her to say, Nah, I'm just kidding.' "

Staff, whose pay that week was late, asked about their final week's wages and entitlements and was told there was no money, Bull said.

"We've been working the last week for free.

"It's only, like, a month before Christmas and we don't have a lot of money to get on."

Toby Heaton said he had 140 hours' worth of annual leave he wanted paid out.

"It's not just me it's my friends too, we've all got a year's annual leave [owing] and we just didn't get paid for a week's work. We've got bills to pay and rent to pay."

Jordan Clennell, 21, said he was relying on his holiday pay to move overseas.

He would join the liquidators' queue but had little hope of recovering the money, about $1000.

"We had no warning of it."

He had made "urgent" arrangements with his family so he could travel.

"It's just been stressful, really. It's really thrown me off."

FROM BOOM TO BUST

CallActive is a family-owned business established in 1975 in Melbourne.

Prime Minister John Key was on hand to open CallActive House on October 1, 2013 in Willeston St, Wellington.

Then-Wellington city councillor John Morrison had met CallActive chief executive Rick Allan as the city prepared to host the AFL match between St Kilda and Sydney Swans on Anzac Day at the Westpac Stadium last year.

Allan said CallActive, which once sponsored St Kilda, was poised to open an office in Auckland until he met Morrison.

"He pushed and pushed and said you've got to come to Wellington."

After moving into CallActive House, Chief executive Rick Allan talked of how the "proudly Australian- owned" company employed 50 staff at its Wellington call centre.

But the building was designed to house 182 call centre staff, and CallActive had first rights to lease two more floors that would let it expand its Wellington workforce to 500.

It was hoped that within a "few years" New Zealand staff numbers would hit 2000, he said.

Allan claimed that Wellington would become a hub for "customer management organisations" around the world and "put it on the global map".

"I think there is an opportunity to bring thousands of jobs into New Zealand."

In March 2014, Allan said the number of contact centre staff working from the first floor of CallActive House had risen to 163.

The company also had options to lease each of the other 11 floors when they become available, plus it already had level 2 ready for expansion.

"We've come in here with . . . a vision to be a New Zealand organisation to manage and look after all the customers within New Zealand'," Allan said.

But he said he was also negotiating with major UK-based businesses to provide services, especially during the UK-night hours when penal rates apply there.

"It's a cost and a return on investment we can provide. We can get quality staff here during the day to support the likes of the UK and America when they go into their night-shift hours.