H&M closes ALL 49 stores in Australia leaving 1300 without jobs as coronavirus claims another retail giant
- H&M has closed its 49 Australian stores in the midst of the COVID-19 pandemic
- The company shutdown will leave as many as 1300 people jobless nation-wide
- It is the latest in a long list of retailers to close, including Cotton on and Mecca
Fashion giant H&M has closed all 49 of its stores in Australia until further notice because of the coronavirus crisis.
The company shutdown will leave as many as 1,300 people without jobs across Australia .
‘Right now, we’re facing a situation that no one could prepare for,’ H&M Australia told customers in a statement last week.
The flagship Melbourne H&M store (pictured) closed its doors on April 5 as the company shuts down operations nationwide in response to the ongoing coronavirus pandemic
‘We are continuously following the advice of local authorities and will keep you informed of any health and safety of our customers and colleagues remains our top priority.
‘As we navigate these uncertain times, supporting our team members is of the utmost importance.
The Swedish retailer has also extended its refund and exchange policy to 100 days for items bought from March 18 onward.
H&M, or Hennes & Mauritz, entered the Australian market in 2014 and announced it would launch its online shop later this year.
The high street chain is the latest in a growing list of companies closing their doors as the pandemic wreaks havoc on the economy.
Last month, big brand names Mecca Cosmetica, Cotton on, Witchery, Country Road, Mimco, and Myer ceased in-store sales and stood down employees as social distancing restrictions hinder operations.
H&M said supporting its more than 1300 team members through the closures was of the ‘utmost importance’
General Pants, Smiggle, Just Cuts, Micheal Hill and Peter Alexander have also temporarily closed due to the coronavirus fallout.
The pandemic put pressure on an already-weak Australian retail climate, driving swimwear label Tiger Lilly and stationery chain Kikki K into administration.
Government regulations on mass gatherings have seen myriads of industries become temporarily obsolete, from hospitality, tourism and aviation, to events and entertainment.
As a result, thousands of employees have been cut from the workforce, sparking fears Australia could face a devastating recession for the first time in 28 years.
Some businesses have adapted to the market changes, with retailers shifting to online sales or home delivery, while restaurants and cafes focus on takeaway services.
Westpac, Australia’s second biggest bank, fears the national jobless rate will more than double by June, from 5.1 per cent to 11.1 per cent.
Despite recording the annual sales of around $35million, Tigerlily cited COVID-19 as being a key reason for the decision for entering into voluntary administration in a statement released last month
This would see 814,000 people lose their jobs, as unemployment soared to the highest level since December 1992.
To combat the economic blow, the government has announced $213.7 billion worth of stimulus across three packages with a focus on maintaining employment levels across the country as it braces for a potential six more months in lockdown.
Nationwide, there are 5,750 confirmed cases on coronavirus including 39 deaths as of midday Monday.
Medical experts have declared that the growth of infection rates are declining but say health measures must remain in place long-term to maintain these results.