UK chain Debenhams is to close department stores in Ireland with the loss of up to 2,000 jobs.
Debenhams outlets in Ireland are closed because of the COVID-19 restrictions. It now appears that eleven stores in Ireland will remain closed after restrictions are lifted.
The company said already challenging trading conditions had been exacerbated by the Covid-19 public health emergency and stores in Ireland are not expected to reopen. Customers can continue to shop and use vouchers online.
The CEO at Debenhams said that the company was sorry it was unable to keep its Irish operations open but said they were left with no viable alternative but to close.
Up to 2,000 staff working for Debenhams are set to lose their jobs. John Douglas, General Secretary of the Mandate trade union, described the news as devastating for the workers.
It's the worst possible news at the worst possible time.
Director of Retail Ireland, Arnold Dillon is concerned that other retailers will not reopen following the lifting of the COVID-19 restrictions. He wants to see government assistance for business with rent and rates.
The overall number of unemployed in the Republic of Ireland rose slightly in March standing at 5.4 per cent. However, adjusting the figure to include those laid off as a result of the Coronavirus, the figure increases to 16.5 per cent. The Economic and Social Research Institute (ESRI) estimates that the cost of the special unemployment payments for a three month period will be slightly under €5 billion. Barra Roantree, Economist at the ESRI, says that including those on the pandemic unemployment payment, unemployment numbers have already surpassed that of the financial crisis.
An RTÉ News report broadcast on 9 April 2020. The reporter is Will Goodbody.
