Clerys to lay off 86 staff on ‘temporary, short-term’ basis

Dublin outlet ceased trading last month after freak storm caused extensive damage

Passing shoppers peer into Clerys on Dublin’s O’Connell Street as the store remains closed due to water damage  Photograph: Alan Betson/Irish Times
Passing shoppers peer into Clerys on Dublin’s O’Connell Street as the store remains closed due to water damage Photograph: Alan Betson/Irish Times

Clerys department store is to lay off 86 staff on a temporary basis.

The Dublin store was forced to cease trading last month after a freak summer storm caused extensive flood-related damage to the O’Connell Street outlet.

“Plans and activity to fully refurbish the department store are well under way and management is confident that Clerys will reopen on a stronger than ever platform,” the store’s owners said in a statement today.

However, due to the extent of the damage, the store would not now be operational in the short-term, they said.

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As a result, it had informed 86 staff that they were to be laid off on a temporary, short-term basis for at least four weeks.

The affected employees, who work primarily in sales and back-of-house functions, will remain Clerys’ employees during the temporary lay-off period, it said.

“Some staff and management remain fully employed by the department store. Their sole focus is on relaunching Clerys as soon as is practicably possible,” it added.

Last September, Clerys was taken over by a Boston-based private equity group, Gordon Brothers.

The move came hours after an announcement was released that joint receivers had been appointed to Clery & Co (1941) plc after a request by the company's directors.

At the time, Clerys employed 147 staff directly at the O’Connell Street store while more than 200 work for the 49 concessionaires there.

The shop incurred “significant water damage” during the heavy rainfall and thunderstorms, which forced the 150-year-old store to temporarily cease trading.

Owners and management met with employees this afternoon to discuss plans to refurbish the store, which are already under way.

“Clerys will not be fully operational in the short-term and, as a result it is with regret that 86 employees were informed that they are to be laid off on a temporary, short-term basis for at least four weeks,” Gordon Brothers said in a statement.

Eoin Burke-Kennedy

Eoin Burke-Kennedy

Eoin Burke-Kennedy is Economics Correspondent of The Irish Times