A major electronics retail store chain in the UK is now in the process of shutting down. Comet, which at one point had close to 240 stores in the UK, will shutter its remaining 49 locations on Tuesday, causing 6,600 Comet team members to lose their jobs.
The retail chain began in 1993, according to Hexus, but ran into financial issues last month after its suppliers changed and tightened their purchase terms to Comet. The Comet website is still online but is only in place to inform store customers of which retail locations have already shut down and which ones will stay open until Tuesday. There are also FAQ pages for general questions as well as for how the company is handling gift cards that have already been bought.
It's likely that some Comet stores could be acquired by another retail chain – Dixons has already brought in 1,000 former Comet workers to become temporary holiday employees. However, the UK government might have to step in to help pay for some of the fallout. Reports claim that taxpayers might have to pay £24 million in back pay to store employees. In addition, Comet still owes £26 million to the UK Tax Office.
Source: Hexus | Images via Comet