Monterey-based HR firm Pinnacle lays off entire staff.

Pinnacle Workforce Solutions shut its doors permanently at 4pm Thursday, leaving its nearly 25 local employees out of a job. The payroll services and human resource firm's client list was purchased by North Carolina-based MPAY, Inc.

Former Pinnacle employees had hoped MPAY would acquire the entire company, thereby securing their jobs. Unfortunately for them, the human resources firm with offices in Massachusetts and Illinois didn't take on Pinnacle's staff, only access to their clients.

Representatives of MPAY, Inc. did not return calls for comment, but in an email to new customers the company states they are not liable for Pinnacle’s debts to clients.

As employees packed their belongings and left their office at 2801 Monterey-Salinas Highway in Monterey for the final time, investigators from the Monterey County District Attorney's Office were poring over Pinnacle's internal records.

“We were told to fully cooperate with investigators,” former IT Director Andrew Samson says of Pinnacle’s owner and general manager John McEwen’s direction to staff.

Their boss was not present for his employees’ final day as complications from a recent gallbladder surgery sent him back to the hospital, Samson says.

Employees who lost their jobs today are also out a week’s pay. MPAY has said they would give priority hiring to former Pinnacle employees, and former clients have offered recommendations, Samson continues.

Former employees have set up an email account—jobsforpinnacle@gmail.com—for interested local businesses to send job offers.

Pinnacle still owes hundreds of former clients hundreds of thousands of dollars for unpaid payroll taxes and checks. But with an ongoing investigation, former customers—including dozens of local businesses—are currently bearing the costs.

Editor's Note: This article originally stated MPAY, Inc. acquired Pinnacle Workforce Solutions' accounts, rather than the account list. This information was based on an email sent to Pinnacle's former clients by MPAY and initially confirmed by former Pinnacle employees.

MPAY's email stated: "Effective immediately MPAY, Inc. (Payentry) has taken over processing of Pinnacle Payroll clients and we will be working with you to convert your payroll relationship to MPAY, Inc."

MPAY representatives could not be reached to confirm the details of its transaction with Pinnacle. This article has been updated to say the client list, not the accounts, have been acquired by MPAY.