UPDATED:David Jones Tipped To Follow Myer & Close Down Stores
Myer has jumped the gun and announced that they are set to start closing all stores from this weekend, David Jones is tipped to follow their lead, this could see 20,000 people retrenched.
This is the date tipped for a Government shutdown of shopping centres and major retail chains with the exception of essential retailers.
Mid Afternoon Saturday David Jones confirmed shut two of its small format stores in Sydney and Brisbane due to the coronavirus outbreak.
The stores that will close are at Barangaroo in Sydney and James Street in Brisbane. However, the company said the rest of its stores would remain trading for as long as government regulations allow in a bid to minimise the financial impact on its workforce.
Some analysts are tipping that both retailers who were struggling prior to the Coronavirus epidemic may not reopen and if they do it both retailers will be smaller operations.
Myer is set focus on online sales only.
The company said in a statement to the stock exchange on Friday evening that it would stand down 10,000 staff.
It said the shutdown of its stores will take place over an initial period of four weeks until April 27, 2020.
“As team members will not be working, they will not be paid during this period of imposed closure. Full time and part time members have greater flexibility to access their annual leave and long service entitlements in addition to government assistance measures,” the company said in its statement.
Earlier this week Lew’s Premier Investments – which includes the Just Jeans, Dotti, Peter Alexander and Smiggle brands closed down their stores, Premier Investments have a major shareholding in Myer.