JOHANNESBURG, Jan. 13 (Xinhua)-- Massmart, one of the biggest retailers in South African, on Monday announced that it is engaging the trade unions and other stakeholders to close underperforming shops, which could result in the loss of about 1,440 jobs.
Massmart, majority owned by U.S. retail giant Walmart, has commenced a potential store closure consultation process with organized labor and other relevant stakeholders.
"A total of 34 Dion-Wired and Masscash stores and approximately 1,440 employees are potentially affected by this process," said Massmart in a statement.
The retail giant said shareholders will be advised of the outcome of the consultation process.
Massmart swung to its first half-year trading loss in two decades last August, as low growth, high unemployment and a rising cost of living hurt South Africans' spending power.
South African well-known retailer Edcon announced this month that they are closing its Edgars store in Rosebank Mall in Johannesburg which is underperforming.
