Argos stores in Ireland will be closed this year, it has emerged.
The UK-based catalogue goods store reportedly informed staff of the decision to close all Irish stores on Thursday morning.
Argos has 34 stores across Ireland and employs around 600 people. It's understood all stores will cease trading by June 24. There will be no change to the company's operations in Northern Ireland.
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Argos has said it arrived at the decision to leave Ireland following a long period of careful consideration and a thorough review of its business and operations in the country.
Argos concluded the investment required to develop and modernise the Irish part of its business was not viable and that the money would be better invested in other parts of its business, a statement confirmed.
The company statement continued: "Argos is committed to doing everything it can to support its people and is talking to 580 colleagues across 34 stores in the Republic of Ireland about their options.
"As part of its consultation with colleagues and Mandate, the recognised trade union, Argos will propose an enhanced redundancy package that goes well beyond its statutory obligations."
The small number of colleagues not eligible for redundancy under Irish Law are expected to receive a one-off goodwill payment.
Argos says it has also committed to a programme of wider support over the coming months.
Andy McClelland, Argos Ireland Operations Manager, said: “We understand this is difficult news for our customers and colleagues. As with any major change to our business, we have not made this decision lightly and we are doing everything we can to support those impacted. On behalf of everyone at Argos I would like to thank our colleagues, customers, suppliers and partners for their support to our business.”
Argos stores will remain open to customers in the Republic of Ireland until June 24.
Following today’s announcement, Argos will begin the process of gradually winding down its Irish business.
As part of this, customers in Ireland will no longer be able to pay for orders via the Argos website or place orders via its home delivery service after March 22.
Orders placed up to this date will continue to be fulfilled and customers will still be able to reserve products online and pay for them in store until the point of business closure.
The aftersales, returns, refunds and exchanges policy will continue to apply until Argos stores close.
The Mandate Trade Union has this morning expressed its disappointment at Argos’s decision and vowed to engage 'intensively' for workers.
Mandate official, Michael Meegan, said that the union will be engaging intensively with the company to get the best possible deal for the workers who are being made redundant.
“Today is a difficult one for Argos’s staff here in Ireland as they get the news that the company will be closing down here.
"Because Argos is shutting down its complete operation in Ireland this amounts to a collective redundancy which requires a 30-day consultation period and we know the company intends to honour that obligation to engage.
"We will be using this period to negotiate the best possible terms for those who are losing their jobs and we are expecting a constructive response from the company,” Michael Meegan concluded.
Retail Excellence Ireland also described reports that Argos will close all its Irish outlets as "disappointing and emphasise the fragility and the rapidly changing nature of the retail industry at present."
Their statement continued: "Retailers are experiencing their toughest time of year now and many are struggling to keep afloat. We note that vacant units around the country are not being filled quickly enough which is a significant concern. It is critically important that the Government continue to monitor developments and step in with supports if needed in the lean months ahead.”
The Irish Mirror has contacted Argos to comment on the reported closures.
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