Share

Thousands face axe as JD Group plans shop closures

Johannesburg - South African furniture retailer JD Group plans to close about 260 stores employing thousands of workers as it seeks to stabilise its finances.

About 1 800 employees will be affected, according to the company, although a trade union put the figure at 4 110. The closings are key to securing the employment of JD Group’s remaining employees, the operator of Barnetts and Bradlows stores said on Monday.

JD has accelerated restructuring plans since Steinhoff International Holdings [JSE:SHF] gained full control of the company last year and delisted the stock.

Steinhoff CEO Marcus Jooste said in August that he planned to raise JD’s cash sales to more than half of the total over the next 18 months in an effort to cut the risk of credit customers defaulting on payments.

News of the store closures came at the same time that Steinhoff made a $2bn offer for Britain’s Home Retail Group.

The South African Commercial, Catering and Allied Workers Union was served with a consultation notice related to proposed retrenchments on Thursday, it said by email.

We live in a world where facts and fiction get blurred
Who we choose to trust can have a profound impact on our lives. Join thousands of devoted South Africans who look to News24 to bring them news they can trust every day. As we celebrate 25 years, become a News24 subscriber as we strive to keep you informed, inspired and empowered.
Join News24 today
heading
description
username
Show Comments ()
Rand - Dollar
18.93
+0.0%
Rand - Pound
23.90
+0.0%
Rand - Euro
20.41
+0.1%
Rand - Aus dollar
12.32
+0.1%
Rand - Yen
0.13
+0.0%
Platinum
908.05
+1.2%
Palladium
1,014.94
0.0%
Gold
2,232.75
-0.0%
Silver
24.95
-0.1%
Brent Crude
87.00
+1.8%
Top 40
68,346
0.0%
All Share
74,536
0.0%
Resource 10
57,251
0.0%
Industrial 25
103,936
0.0%
Financial 15
16,502
0.0%
All JSE data delayed by at least 15 minutes Iress logo
Company Snapshot
Editorial feedback and complaints

Contact the public editor with feedback for our journalists, complaints, queries or suggestions about articles on News24.

LEARN MORE
Government tenders

Find public sector tender opportunities in South Africa here.

Government tenders
This portal provides access to information on all tenders made by all public sector organisations in all spheres of government.
Browse tenders