This article is from the Australian Property Journal archive
MAJOR retailers Myer, Cotton on Group, Country Road Group, RM Williams, Kathmandu and Rip Curl will temporarily close their stores, standing down over 10,000 workers across the nation.
Department store Myer has temporarily shut all stores on Sunday night for an initial period of four weeks until 27 April 2020, which will impact approximately 10,000 workers who will not be paid during this period.
Whilst the decision supports the government’s measures to prevent the spread of covid-19, CEO John King said it is one of the toughest decisions this company has faced in its 120 years of operation.
“Our thoughts are with our team members, and their families, as we know this will be a difficult period, and, in addition to offering free counselling and support, we will look at further ways to support their health and wellbeing during this time,” he added.
The Myer executive team members have also opted to not receive any remuneration during this period, but will continue to work in their respective roles.
Rival David Jones will keep its large format stores opened for the time being but will close its smaller outlets. The retailer’s South African parent company Woolworths Holdings decided to shut two smaller DJs stores – Barangaroo Sydney and James St Brisbane for at least four weeks.
However, Woolworths Holdings will close the Country Road Group’s 280 stores for four weeks, which includes the brands Mimco, Politix, Trenery and Witchery. According to Country Road’s website, it employs more than 7,000 staff.
Meanwhile fast fashion giant Cotton On Group, which owns brands including Cotton On, Cotton on Body, Factorie, Rubie Shoes and Supre, will close its 650 Australian stores.
Iconic Aussie brands RM Williams, Kathmandu and Rip Curl also shut their outlets, with the retailer saying it will impact 165 stores and 1,300 staff.
These latest closures come hot on the heels of Solomon Lew’s Premier Investments closing 900 stores across Australia for at least one month, and declaring it will not pay rent during the period.
The federal, state and territory governments are finalising a package to assist commercial and residential tenants, as well as landlords impacted by the shutdown to curb the virus spread. It is expected to unveil the plans this week.
