Fashion retailer New Look is to exit Ireland and its 347 workers around the country, including Donegal, are facing redundancy.
New Look Retailers Ireland Ltd today sought the appointment of provisional liquidators as it sought to wind down its Irish operations following several years of sustained losses and challenging market conditions.
The High Court has approved the appointment of Shane McCarthy and Cormac O’Connor of KPMG Ireland as provisional liquidators over the business and its assets.
New Look’s staff were notified immediately following this appointment and further staff engagement is planned over the coming days.
New Look employs a total of 347 staff across its 26-store network in the Republic of Ireland, including Letterkenny. A majority of its stores are of small to medium size, employing an average of 12-13 staff per store.
A 30-day staff consultation process will commence over the coming days.
“Regrettably, a collective redundancy process, impacting all colleagues in the ROI is also envisaged,” the company said in a statement.
“The decision to seek the appointment of liquidators was not taken lightly. New Look’s Irish operation has struggled for some years, impacted by a range of factors including supply-chain and in-market costs, and squeezed consumer spending,” New Look said.
The company said that following a strategic review of the Irish business, New Look Group concluded it was no longer viable to continue trading in Ireland.
“The group will refocus investment on its UK business and its digital offering.”
“Our Irish business has struggled for many years due to rising costs and squeezed consumer spending, despite our efforts to turnaround the performance,” a spokesperson said.
“Our focus now is on supporting our colleagues through this process.”
New Look stores will be closed over the coming days, before re-opening on February 23 for a clearance sale.
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