Jeanswest Collapse Marks Another Blow To Australian Fashion Industry As Costs Rise

Clothing retail company Jeanswest announced Wednesday that it is shutting down, with over 90 stores set to close in the coming months, which could lead to hundreds of workers losing their jobs.
Jeanswest shutdown puts jobs at risk
Administrators said it has been getting harder to do business in Australia's retail market.
Jeanswest has more than 90 stores across the country, employing over 600 people.
The company's administrators hope to keep the brand running online, which might help save some jobs; however, most of these workers are in the stores that will be closing.
"This is a hard day for hundreds of Jeanswest team members and we will be working directly with the team members to provide clarity and information about the next steps," Administrator Lindsay Bainbridge said, ABC News reported.
Jeanswest owners regret store closures
Bainbridge noted that "the owners have done everything they can to keep Jeanswest going," adding "they deeply regret the impact of store closures on their team members and their customers, and we will be working now with teams across the country."
Jeanswest went into administration in January 2020, but was later saved by a Hong Kong company called Harbour Guidance. Administrators from Pitcher Partners said the brand was closing after five years of trying to keep it running.
The company also has stores in New Zealand, but administrators say those stores will stay open. The brand started in Australia and opened its first store in Perth in 1972. It later expanded to the East Coast in the 1980s.
In 1994, a Hong Kong company called Glorious Sun bought Jeanswest. Then, in 2017, it was sold to a private company called Howsea Limited.
Australian fashion industry struggles
The collapse comes at a tough time for the Australian fashion industry, which has been struggling, as several major retailers have shut down due to the rising cost of living.
Mosaic Brands, known for popular labels like Autograph, Noni B, Katies, Millers, and Rivers, also went into liquidation, affecting 250 head office staff and 2,500 store workers across 651 locations in Australia and New Zealand.
Last year, Australian luxury fashion brand Harrolds shut down after nearly 40 years. Another well-known Australian fashion brand, Dion Lee, failed despite being worn by A-list celebrities like Taylor Swift and Dua Lipa.
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