Why David Jones is facing store closures and job loss fears
David Jones is trending following news that the department store chain missed an official corporate deadline to lodge its 2026 financial records. The company is in negotiations with landlords to shut unprofitable locations and gain rent relief to prevent entering administration. While emergency funding has been provided for holiday stock, retail unions are preparing for potential major job cuts.
What happened
- 30 Oct 2026
David Jones misses the ASIC deadline to submit its audited 2026 financial reports [2].
- Late Oct 2026
Distressed business lender Hilco Capital supplies extra cash so the chain can stock inventory for the Christmas rush [1].
- Nov 2026
The SDA union warns of widespread job losses as reports suggest up to half of all stores could be closed [1].
What you need to know
The department store chain currently operates 38 locations across Australia and New Zealand, but plans may reduce that count to between 12 and 20.
Five Westfield shopping centre locations in Sydney, Melbourne, Perth, and Canberra have been highlighted for potential shutdown.
Management and sources confirmed gift cards remain redeemable, clarifying that recent checkout problems were caused by a technical glitch at a service provider.
Extra financing from Hilco Capital has allowed the retailer to maintain inventory levels for Black Friday and Christmas sales.
The final list of store shutdowns has not been formally announced, as discussions with major landlords remain active. It is also uncertain whether the retailer will successfully avoid voluntary administration.
Background
Australian private equity firm Anchorage Capital Partners acquired David Jones in 2023. The department store chain has experienced financial strain, reporting sales drops to $2 billion and losses exceeding $95 million in its 2025 financial year.
Chief executive officer Erica Berchtold has been overseeing a business restructuring strategy while seeking rental relief and store rationalisation from property developers. The brand previously closed two New South Wales sites in early 2026 and missed corporate financial filing deadlines two years in a row.
Questions people ask
Is David Jones going into administration?
Administration has not occurred, but reports indicate it remains a possibility if agreements on rent cuts and store closures cannot be reached.
Can customers still use David Jones gift cards?
Yes. David Jones confirmed gift cards remain valid and functional, noting that weekend disruption was due to a temporary outage at a third-party tech vendor.
Which David Jones stores could close?
Reports indicate up to half of its locations could close, with specific Westfield sites in Parramatta, Hornsby, Southland, Carousel, and Woden under consideration.
Where this came from
[1] smh.com.au
‘Alarming’: David Jones workers brace for job losses as store closures loom
Preview image from smh.com.au
[2] nine.com.au
The future of David Jones Westfields locations in doubt after missed deadline
Preview image from nine.com.au
[3] afr.com
David Jones misses 2026 accounts deadline; five loss-making stores in focus
Preview image from afr.com
Found through Google Trends and drafted with AI from at least two cited sources. Published automatically after passing our automated checks for sources, wording and safety. It may not have been reviewed by a person yet. Report a correction.