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Employment lawLatest NewsEconomics, government & businessJob creation and lossesInsolvency

Ethel Austin cuts more than 1,000 jobs as shops are shut down

by Personnel Today 26 Feb 2010
by Personnel Today 26 Feb 2010

More than 1,000 staff at Ethel Austin have been made redundant after the firm’s administrator closed 114 shops.

The fashion retailer and its sister company Au Naturale went into administration in January for the second time in two years.

Administrator MCR said most of the closing stores would stop trading by the end of the week, with the loss of 1,048 jobs.

Poor sales over the Christmas period and bad weather in January were blamed for the administration, the Times reported.

Geoff Bouchier, MCR’s joint administrator, said: “In light of the current economic climate these stores identified for closure did not attract a purchaser. Regrettably, as a result of their current financial performance, these stores will shortly cease to trade.

“We are still hopeful of selling the remaining business and discussions are ongoing with a number of interested parties.”

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The remaining 162 stores will stay open while a buyer is sought.

Before going into administration, the group had employed more than 3,700 people across its stores.

Personnel Today

Personnel Today articles are written by an expert team of award-winning journalists who have been covering HR and L&D for many years. Some of our content is attributed to "Personnel Today" for a number of reasons, including: when numerous authors are associated with writing or editing a piece; or when the author is unknown (particularly for older articles).

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