More than 100 jobs have been lost as the receivers of discount retailer Crazy Clarks begin closing stores, and more job losses are likely.
Store closures have begun at the financially troubled Crazy Clarks discount chain, putting 111 employees out of work.
More jobs will go as another 33 stores look likely to close in the coming weeks.
Discount Super Group (DSG), the owner of Crazy Clarks and Sam’s Warehouse, was placed in adminstration on Tuesday, and its receivers plan to sell the profitable stores in order to fund an estimated $10 million in entitlements owed to workers.
Unprofitable stores will close, however, and the first 10 will be shut down from Friday, affecting 111 staff, most of whom are casual workers.
Crazy Clarks in Sunnybank, Brisbane, is closing on Friday, while another five stores in Queensland, three in NSW and one in Whyalla in South Australia, will close their doors on July 13.
Of the 143 Crazy Clarks and Sam’s Warehouses stores, receivers KordaMentha believe about 100 are making a profit.
They called for expressions of interest from potential buyers of those stores on Thursday.
All remaining stores have made heavy discounts on their stock, and shoppers are being encouraged to take advantage, as the proceeds will help to pay the entitlements owed to the company’s 2,500 staff.
DSG is owned by Jan Cameron, the founder of outdoor clothing retailer Kathmandu.
DSG bought Crazy Clarks and Sam’s Warehouse out of administration for $59 million in February 2013, after another of Ms Cameron’s ventures, Retail Adventures Group, buckled under debts of more than $160 million in October 2012.