Almost 1,600 Pumpkin Patch staff are set to lose their jobs by the beginning of next year after a buyer for kids fashion brand could not be found.
Administrators Ferrier Hodgson announced yesterday that the 36-year-old retailer will continue to trade as usual as a rescue buyer is sought.
Pumpkin Patch employs about 1,000 workers in Australia (mainly mums!) across their 117 stores and close to 600 in New Zealand’s 43 stores.
Pumpkin Patch was placed into voluntary administration in late October under a $76 million debt pile and posted a $15.5 million loss for the year to June.
Receiver KordaMentha will launch a fire sale of all remaining stock starting this weekend as it moves to close down the company by February.
Got a Gift Voucher?
If you’re holding onto a gift voucher, it will still be honoured, although receivers warn that purchases will be limited to remaining stock on offer.
There was no choice really.
Brendon Gibson from receiver KordaMentha said yesterday said there was no choice but to close the business down given a buyer had not turned up, despite working hard to secure one for this family favourite in the kids fashion business.
“Unfortunately, while the brand is attractive, the business itself ultimately drew no interest at the conclusion of the sale process,”
Spare a thought for the staff caught up in this
While some might be quick to rub their hands together at the thought of a fire sale, it’s not just about cheap stock. Spare a thought for the 1,600 staff (mostly mums working hours around their kids) who are now looking at the thought of losing their jobs and the uncertainty that brings.
So if you’re in store bagging a bargain or two, take 2 seconds to give them a smile because, let’s face it, when you love what you do it’s a bitter pill to swallow. Let’s show them we care!