Affecting 440 employees.
Harris Scarfe will close 21 stores located in WA, QLD, NSW, VIC, SA and the ACT over the next four weeks with approximately 88 full time, 128 part-time and 224 casual positions affected.
The announcement was made by receivers, Deloitte Restructuring Services, who were appointed voluntary administrators on 11 December 2019.
There will be 44 stores remaining in the portfolio to be offered for sale with approximately 1,360 jobs remaining. This is five more stores than originally anticipated.
Deloitte Restructuring Services partner, Vaughan Strawbridge said the business has continued to trade since they were appointed and it has been well supported by loyal employees and customers.
“So it has been a difficult decision, but one necessary to position the Harris Scarfe business for a successful sale and continued operation,” he said.
“All efforts are being made to redeploy affected staff around the rest of the store network, and all staff that leave the business will receive all wages and entitlements in full on the closure of individual stores.
“Our review of the store network included a range of factors, including past and likely future profitability. Going forward, we certainly remain focused on running the broader store network, and selling the business as the best outcome for remaining employees and suppliers.”