As a follow up to our January published article regarding Dion-Wired stores shutting down, today, the Walmart-owned Massmart announced that it is closing 23 Dion-Wired stores.
All Dion Wired stores will be stop trading at 18:00 on 19 March 2020, as well as the online store. Online shopping at www.dionwired.co.za will close at 8:30 am on 19 March 2020.
In a statement the Walmart-owned retailer Massmart, whose brands include Makro and Game said :
Since 13 January 2020, management have consulted extensively with the affected employees; organised labour and other relevant stakeholders under the guidance of the Commission for Conciliation, Mediation and Arbitration and all options/alternatives in respect of the potential closure of the affected stores have been exhausted. Accordingly, the Board have now taken a decision to close all of the non-performing stores.
In light of the aforementioned decision, management will cease trading of the affected 23 Dion Wired Stores on 19 March 2020. A decision to cease trade in relation to the 11 affected non-performing Masscash stores has yet to be determined by management.
Subsequent to the above, Management shall continue the consultation process with all affected employees; organised labour and other relevant stakeholders in order to mitigate the amount of job losses, as a result of the closure decision, through deployment of affected employees to vacant roles with the Massmart Group where practical and reasonable.
However, with the stores closing down, there will be no clearance sale as many consumers would have suspected. The group advised consumers that they can still shop for their favourite brands at Game stores.