Shop Direct owner of the Catalogue brands Very and Littlewoods are closing three Warehouses in Greater Manchester at the cost of 2000 jobs. It does plan a new Warehouse facility in the Midlands but that would only offer 500 jobs.
The company made a statement saying that it was a decision based upon the need to grow and meet expectations.
The site will be fully automated, which Shop Direct said would allow it to respond more quickly to changing consumer demand.
The move puts the jobs of 1,177 Shop Direct employees and 815 agency workers in doubt.
Despite a recent slowdown on the High Street driven by weaker consumer confidence, online retail sales have proven resilient especially those in the mail order business.
According to Shop Direct, its sales climbed 5.6% last year to £1.93 billion.
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