Warehouse chief exec expects ‘rough ride’

The Warehouse Group is proposing to axe up to 1080 jobs as part of a major restructure that could result in nine store closures.

Chief executive Nick Grayston has warned that more store closures are likely in the future as the company works to get ‘‘fit and healthy’’ in a ‘‘rapidly changing world’’.

He also didn’t rule out further job losses on top of what would already be a massive round of redundancies.

‘‘There’s none that are currently planned but this is going to be a rough ride,’’ Grayston said.

‘‘I would never say never at this point in time. There’s way too much uncertainty.’’

In a statement to the New Zealand stock exchange (NZX) yesterday, the big-box retailer said it would look at six store closures in the coming months – in addition to three already confirmed – across the Noel Leeming, The Warehouse and Warehouse Stationery brands.

It was starting a consultation process looking at the closures of the Noel Leeming Henderson Clearance Centre, and Tokoroa store; The Warehouse’s Whangaparaoa, Johnsonville and Dunedin central stores; and Warehouse Stationery’s Te Awamutu store. In July, it would close its Birkenhead Warehouse store.

That same month it would open a Noel Leeming Northlink store in Christchurch, which will replace its Papanui and The Palms stores.

The proposals would result in about 700 to 950 job losses.

It was also restructuring its head office in Northcote, Auckland, which would result in 100 to 130 job losses.

Grayston said the proposal would have happened regardless of Covid-19.