Bunnings mulls closing its Hastings trade centre

Bunnings is proposing to close its Hastings trade centre amid the challenging trading environment. Photo / File

National retailer Bunnings is proposing to close its Hastings trade centre.

The Hastings centre, on Heretaunga St West, is one of seven sites affected by a nationwide decision the chain store announced on Tuesday.

The Ashburton Warehouse, Hornby trade centre and four smaller format stores in Cambridge, Rangiora, Te Awamutu and Putaruru are also on the list, with 145 staff affected.

Hastings has 14 staff members in total, 11 full time and three casual.

The Hastings-based trade centre, which cost a reported $4 million, opened its doors in December 2017.

The household hardware chain issued a statement claiming the proposed closure was due to "the challenges of the recent trading environment", following a network review.

Bunnings NZ director Jacqui Coombes said staff had been informed of its proposal to close the stores.

"Our absolute priority is the welfare of the 145 affected team members," she said.

"This news is understandably upsetting and we will be working closely with our team during the consultation period to discuss their individual circumstances, including redeployment to other stores if possible.

"Unfortunately these stores are no longer a viable part of our store network."

Hastings Mayor Sandra Hazlehurst said while loss of any business in the city is devastating, the closure of Bunnings in Hastings is an "enormous blow to our community".

"The Covid-19 lockdown has had and will continue to have a financial impact on our business community and jobs for our people," she said.

"We know some businesses have been hit harder than others, such as tourism, retail and hospitality.

Hazlehurst added: "My heart goes out to all the staff and their families affected by this."

The closures are reportedly connected to the challenges of the recent trading environment, but also took into account lease arrangements, individual store performance and suitability of location, with some of the stores always intended as temporary locations.

The proposed closures follow previous measures to cut the strain from the New Zealand lockdown last month by temporarily reducing salaried staff hours and pay by 20 per cent and working with landlords on rental reductions, Coombes also said.

Hazlehurst also said there are measures in place to help those affected by job loss throughout the Covid-19 pandemic.

"There are jobs out there and we want to make sure people know where to go for support," she said.

"As part of our Hastings District Council Recovery Plan, our new Business and Employment Hub will be open soon at alert level 2 to help anyone made redundant due to Covid-19."