Final fortnight for Woolworths
Reporter: by RICHARD HOOTON
Date published: 19 December 2008
WOOLIES stores in Oldham and Shaw will shut by January 5 — though no exact closing date has yet been given.
Administrators Deloitte has confirmed that all 807 stores will shut but the local branches are not in the first named batch of 200 to close by December 27.
A spokesman said the rest will close on December 30, January 2 or 5, but staff have yet to be given their closure date.
The moves will affect 22,000 permanent staff and 5,000 temporary workers, although some will be kept on for a short period.
Deloitte said it had received interest from other retailers for 300 Woolworths stores.
The corporate recovery firm confirmed the closure plan after failing to secure a buyer.
It’s set to flood stores with 50 million extra items in the final run–up to Christmas. Discounts already running at up to 60 per cent will be even heavier as the administrator looks to clear stock.
Once the final closure dates are announced, signs in stores will show a countdown to encourage shoppers as staff brace themselves for redundancies.
Joint administrator Neville Khan said: “We are trying to deal with the situation in as sensitive a way as possible.”
Mr Khan also revealed that administrators are in talks over the sale of the Woolworths trademark and its “Worth It!” value brand, meaning the famous retailer may not disappear from the high street altogether.
Shopworkers’ union Usdaw said it was appalled, adding it had been told every store would be given only 10 days’ notice before they closed and staff would be asked to work up to three days afterwards to clear up.
National officer John Gorle said: “We are shocked that staff will only be given 10 days’ notice of store closure.
“Redundancy is devastating at any time of year, but particularly so at Christmas.
“This is an extremely distressing time.”
The High Street giant, considered the cornerstone of shopping for 99 years, called in the administrators last month as it became biggest casualty of the credit crunch so far with a £385million debt.
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