String of Nike stores across Sydney close, more than 100 staff lose jobs
A number of Nike stores have been shut across Sydney after a franchisee went into liquidation, resulting in 113 employees losing their jobs and gift certificates unable to be honoured.
AF-1 and its related companies, which operated the Nike stores across Sydney's east and west, was placed into liquidation on September 26, with John Morgan of BCR Advisory appointed as liquidator.
Trading across the Nike stores at Bondi Junction, Burwood, Castle Hill, Neutral Bay, Sydney CBD, and Warringah ceased on Friday, with 113 casual and full-time employees receiving termination letters.
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Over 100 staff were sacked and cusromer store credits are lost. Nine
"The companies are no longer able to trade as 'Nike' stores and are no longer trading, effective immediately," a statement from BCR Advisory reads.
"Eligible employee entitlements, including unpaid Annual Leave, wages and redundancy payments will be paid under the Commonwealth Government FEG scheme."
The collapse of the companies also comes as a blow to customers with credits or gift cards.
"Unfortunately, gift certificates and store credits cannot be honoured – these represent unsecured claims against the Companies which operated the stores," the liquidator said.
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The companies are no longer able to trade as "Nike" stores and therefore have ceased trading with immediate effect. AP
The liquidator's office is working with Nike and the landlords to arrange the store closings.
A number of other Nike stores across Sydney which have no affiliation with AF-1 continue to trade as normal.
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