SHUTTING DOWN: Warwick's Big W DC to close
A SHOCKING announcement has revealed one of Warwick's biggest employers is set to shut its doors as major retailer Big W reveals widespread closures.
Big W has confirmed its distribution centre located in Warwick will close at the end of its lease in 2023.
The Big W distribution centre was established just before the retailer's store opened in Warwick in September 1997.
The centre now employs 183 people and is one of two DCs and 30 stores that are due to be closed by the retailer in the coming years.
In a statement released by Woolworths Group, who own Big W, it was revealed the distribution centre in Monarto in South Australia was also due to close in 2021.
The news of the closures comes after Big W revealed major losses in the past year.
Woolworths Group CEO Brad Banducci said the recovery in trading for Big W had been encouraging but there was further opportunity for improvement.
"The speed of conversion to earnings improvement is taking longer than planned," he said.
"We understand the impact that the store and DC closures will have on our team and will endeavour to provide affected team members with alternative employment options within the Woolworths Group where possible.
"This decision will lead to a more robust and sustainable store and DC network that better reflects the rapidly changing retail environment.
It will accelerate our turnaround plan through a more profitable store network, simplifying current business processes, improving stock flow and lowering inventory."
Potential store closures represent approximately 16 per cent of the current store network with a remaining average lease tenure of approximately 10 years.
Woolworths Group said to gain cost efficiencies and improve stock availability, BIG W's supply chain will move closer to stores.
The Woolworths Group stated details of possible store closures will not be released due to ongoing discussions with landlords and in the interim, all stores and DCs will continue to trade as normal.