H&J Smith confirms store closure
The Dunedin H&J Smith department store will close in 2021, it has been confirmed.
Yesterday, managing director Jason Smith said the department store will close on January 30, as well as the Armoury Store, which operates in the Wall St precinct, affecting about 85 employees.
Earlier this month, the company also confirmed the closure of its Te Anau and Balclutha stores on July 31, the downsizing of its Gore store, and the closure of Outdoor World at Remarkables Park in Queenstown at the end of August, affecting about 60 employees altogether.
The main Gore store will close at the end of August but the town will retain a fashion store.
The company had been significantly impacted by Covid-19 and was also grappling with issues like increasing wage and compliance costs, store size and scale, and an ageing network in need of capital expenditure, Smith said.
‘‘We’ve been working in the background with the Dunedin mall owners and managers to finalise terms. Late yesterday we received the necessary legal documents to allow us to firm up exit dates.
‘‘We deeply regret the impact the Dunedin department store closure will have on our employees and their families, as well as the community.’’
The distance meant redeployment was not a realistic option for the majority of employees, however, the company would consider this for staff who wanted to relocate, Smith said.
A decision regarding the future of the Mosgiel H&J Smith store was still under active consideration and no further details were available.
Other businesses operated by the H&J Smith Group, Mitre 10 Mega in Invercargill and Queenstown, and Laser Electrical in Invercargill were not affected by the restructure.