Laid-off Birmingham warehouse workers had their redundancy pay blocked when their ex-bosses found the front door to the site jammed shut with superglue.
Two forklift keys and a jet washer were also stolen from Meyer Timber in Bromford, said managing director Richard Lazenby.
Graffiti was also daubed on the walls and bands cut on packs of wood.
Mr Lazenby said he suspended the payments and entitlements in lieu of notice to his laid-off staff in protest at the damage at the site, which is earmarked for closure.
Ex-warehouse supervisor Neil Douglas, made redundant on November 11 after working for the firm for ten years, said he was owed around £7,800.
“I am right up the creek without any money and a lot of the lads are in the same boat.
“We had to go to the office to get some answers and sat there until a copy of the email explaining what had gone on was produced.
"It is bad enough losing your job at this time of year but to have your money stopped as well is terrible."
In an internal email, Mr Lazenby said: “The Birmingham warehouse staff’s November wages have been suspended, as a number of issues remain outstanding.
“We have two missing forklift keys, which must be returned. We have a missing jet washer, which must be returned.
“Most seriously, an act of criminal damage was undertaken the day after the ops staff left, whereby the lock to the front door was disabled using superglue.
"We are not looking to prosecute anyone, but we do need our equipment back, and the cost of vandalism covered.
“Once this is achieved, all due outstanding payments will be made.”
Mr Lazenby added: “We feel let down – we felt lives had been put at risk and criminal damage undertaken.”
Meyer Timber is closing sites in Warrington and Birmingham and relocating operations to Stoke.