Biffa, the UK's largest waste management company, is planning to restructure after struggling with debts
Biffa is reported to have debts of £1.1bn, which has prompted Union leaders to seek urgent talks in a move to protect jobs and services.
Biffa, which employs around 6,000 bin workers and has household collection contracts across the UK, is handing control of the business to creditors led by banking giant HSBC after struggling to repay debts, according to The Sunday Times newspaper.
In August, a consortium of Chinook Urban Mining, a London recycling specialist, the private equity investor Clearbrook Capital and the American bank JP Morgan bid £520m for the group.
Brian Strutton, national secretary for public services at the GMB union, said: "Biffa is a fundamentally sound business crippled by the greed of private equity owners. The core waste and recycling operation can emerge stronger without the millstone of debt around its neck."
A Biffa spokesman said: "Biffa is a profitable, cash generative business which is performing in line with its plans.
"The company is undertaking a well-managed, planned restructuring process, working with its lenders to reduce the debt on the business."