Sears Canada to close its doors for good
After the closure of 59 stores across Canada, and the dismissal of almost 3000 employees, Sears Canada failed to find a suitable buyer and will be shutting its doors for good.
“Following exhaustive efforts, no viable transaction for the company to continue as a going concern was received,” the retailer said in a press release issued Tuesday. "Sears Canada, with the recommendation of its advisers and approval of the monitor, FTI Consulting Inc., is seeking an order to commence a liquidation that would result in a wind-down of its business following court approval. The Company deeply regrets this pending outcome and the resulting loss of jobs and store closures.”
The closure of Sears Canada’s remaining stores will result in the loss of 12,000 jobs, a point that Brandon Stranzl used as leverage to try and make his bid to save the company successful.
"The right decision is to save jobs and save Sears Canada from liquidation," argued Stranzl when fighting for the survival of the brand.
While the closure is not all-together unsurprising, it still comes as a blow to those working at the Canada retailer.
"Many of us feel frustrated, anger, betrayal," a Sears manager told CBC News in an email. "People don't know what to do. Many people went home already as they were physically upset and needed some personal space."
The manager quotes the downfall of Sears on the mismanagement done by those in high places. "So much wasted money on renos for stores, head office when we were bleeding for cash. It's been an extremely painful process to see it all thrown away."
However, Sears Canada has taken a different route in explaining why things went downhill for the company.
"We have said this before, but it is worth repeating — the actions being taken are a reflection on the state of the retail market today, not your efforts or your contributions to the company, which have been greatly appreciated," said Sears executive vice-president Becky Penrice in a letter to their employees. "You and our former colleagues have stuck by us and continued to give it your all. I sincerely regret that we have reached this point.”
The next wave of lay-offs will start next week, and will affect most of the 800 employees working at the company’s head office in Toronto. Store liquidations, if approved by the courts, are set to begin as early as October 19th, and should last about 10 to 14 weeks.