Hundreds of retail jobs at risk as H&M close seven stores across Australia as fashion brand looks to move online
- H&M has opted to prioritise its online sales post the Covid-19 global pandemic
- Decision leaves hundreds of retail jobs at risk, with seven stores likely to close
- Swedish retail chain opened its first Australian store in Melbourne back in 2014
Hundreds of retail jobs could soon be lost as popular department store H&M switches its focus to online sales.
First established in Sweden, H&M is poised to soon close seven department stores across Australia over the coming weeks and months.
One outlet located in Chatswood, in Sydney’s north, has already closed its doors for a final time, with Queensland department shops in Townsville and Rockhampton tipped to soon follow suit.
A number of H&M stores are tipped to close across Australia as the department store focuses on its online sales (stock image)
H&M (pictured above) was established in Sweden and soon became a respected clothing brand globally
Given H&M opened to huge fanfare in Australia back in 2014 when an estimated 15,000 customers surged through the maiden store in Melbourne on its first day of operation, it has been a sad fall from grace.
Northern Territory is the only current state in Australia without an H&M department store.
H&M posted a tidy profit of $2.6million in 2018, but the following year saw a loss of $1.19million.
The global Covid-19 pandemic has had a significant impact on the business, with H&M confirming last October it would be closing 250 stores globally.
Their long term focus with online sales was confirmed in 2019 by H&M Australia country manager Thomas Coellner.
‘We are very excited to finally launch H&M online in Australia and to be able to offer our fashion collections to customers nationwide anytime, anywhere,’ he said leading into Christmas last year.
‘We now have 40 stores across this country and this significant milestone extends H&M’s omni-channel offering.’