Last week it was announced that electrical retailer Comet is to go into administration, putting thousands of jobs at risk. And now it has been reported that their competitor Dixons are offering Comet staff jobs for the Christmas period.
Nearly 7, 000 members of staff at Comet could be under threat of losing their job and being made redundant due to the administration.
Administrators were appointed last week following disappointing sales and a steady decline in business. The lack of sales is supposedly down to the recession and a rise in internet shopping. The firm was bought last year for £2 by OpCapita, following losses of £35m, but have failed to recover.
There are currently 236 Comet stores across the country and at the moment administrators are keeping some stores open while they search for a potential buyer – which at the moment is looking bleak.
Reports out today suggest that 500 Comet staff have already approached Dixons, looking for employment. Dixons Retail, which includes Currys and PC World, are said to be hiring up to 2,000 staff in their stores during the Christmas break and the company has opened up these opportunities to Comet workers.
The Comet groups is said to be preparing for a ‘fire sale’ of stock in order to recoup. This could mean up to £120 million of tech products being sold at heavily discounted prices.
The Comet administration will signify one of the biggest high street closures since Woolworths.