TM Lewin goes into voluntary administration with fears menswear company could close all Melbourne stores in the coronavirus pandemic
- Australian menswear company TM Lewin entered into voluntary administration.
- The formal wear brand has five stores across Australia and a team of 40 staff
- TM Lewin’s parent company in the UK recently closed all of its stores indefinitely
Australian menswear company TM Lewin has entered into voluntary administration.
The brand which has become the latest victim of the coronavirus pandemic could now close all its stores across Melbourne, Sydney and Brisbane leaving its 40 staff stranded.
TM Lewin’s five Australian stores had all shut in March due to the outbreak of the virus but staff remained employed on JobKeeper payments.
Australian menswear company TM Lewin has entered into voluntary administration
Stuart McCallum, Adam Nikitins and Colby O’Brien, directors of Ernest & Young’s Melbourne office have been appointed joint administrators of the business earlier this month.
‘This is another unfortunate example of a retail business which has needed to call in Administrators because of the impact of COVID-19,’ Mr McCallum said.
‘The TM Lewin brand is very well known and respected in the Australian market. There would not be too many business people in Australia without a TM Lewin shirt, suit or tie in their wardrobe.
‘We are working with the Administrators of TM Lewin in the UK to ensure the Australian business has the best chance of continuing in Australia, and the potential impact on employees, landlords and other creditors remains at the forefront of our thinking.’
The brand’s parent company in the UK recently announced it would close all of its 66 stores indefinitely and stand down around 600 workers as part of restructuring.
Administrators are now hoping to reopen each TM Lewin store in Sydney and Brisbane running, Smart Company reported.
‘Different parts of the retail sector are performing differently during COVID, and have been impacted differently by COVID,’ Mr McCallum said.
‘In T.M. Lewin Australia’s case, the reduction in foot traffic in the CBD – as a result of significantly increased working from home – had a material negative impact on the business.’
More to come.