A few weeks before Christmas, the employees of the 34 Center durazor stores are experiencing moments of uncertainty. The company specializing in the sale and repair of small kitchen appliances has just filed for bankruptcy protection.
The brand managed by the CDREM Group announced the news to its 150 employees on Thursday by email. The trustee in the notice of intention is Roy Métivier Roberge. “Centre du Rasoir was forced to seek bankruptcy protection by filing a notice of intention to make a proposal. You will understand that this was not an easy decision,” reads the email message — that The Press obtained – signed by the president of the company, Patrice Demers.
“The shareholders consider that this is the best solution to ensure the continuity of operations beyond the next few months,” adds the businessman, who previously owned the radio station CHOI Radio X in Quebec. .
I will put all my efforts to arrive at a proposal acceptable to our creditors, lessors and suppliers. This does not change your working conditions in any way. Your job and salary are not at risk.
Patrice Demers, President
Thus, the stores, 10 of which are managed by franchisees, remain open, insisted on repeating the general manager of the company, Alex Morency, during an interview granted to The Press. “At the moment it is business as usual. It’s our biggest time of the year. Our stores are full of stock and we are ready to serve our customers. »
Backtrack
But how did the company, in the midst of an employee recruitment campaign, as evidenced by its Facebook page, come to this? Go back.
Founded some sixty years ago, Center durazor has gone through several changes. In 2014, the company announced the merger of its activities with Boutik Electrik, giving rise to a network of more than 80 stores. At the time, the majority of stores were run by franchisees. Five years ago, Center durazor decided to review its strategy and several changes are taking place within its management team. The retailer then reviewed its brand image and became the owner of a large majority of its stores.
However, many “bad decisions” made in the past are now causing difficulties for the company, according to Alex Morency. “There are store leases that were signed with agreements that were not good agreements. And there, we get it for that. The implementation of the website a few years ago was poorly done. This forced us to redesign the website last year, with a new platform. »
The pandemic that led to labor shortages and supply chain issues, and ultimately inflation, drove the final nail in the retailer’s coffin.
The decision was taken with a view to getting rid of old debts from the past and being able to start fresh.
Alex Morency, company general manager
Although all stores remain open for the time being, some may close. “We do not plan to close stores en masse, however, wishes to say the general manager. Is it possible that some franchisees decide to withdraw? Is it possible that we close small volumes? Nothing is excluded. »
Moreover, the recently announced news came as little surprise to the manager of a Razor Center who prefers to conceal his identity for fear of reprisals. ” I had a feeling it was coming, but I didn’t think it would happen so quickly, ”he confides on the phone. A few events that had taken place over the past few months had given him a clue. Its opening hours had notably been reduced. Orders, meanwhile, began to trickle in. “I receive different items in very small quantities. »
For its part, the United Food and Commercial Workers (UFCW) union, which represents 64 workers in 13 stores and a warehouse, did not hide its astonishment. “There are stores that have been completely renovated, that have changed their signs, underlines spokesperson Roxane Larouche. We had no signals telling us that things were not going well. »
With the collaboration of Marie-Eve Fournier, The Press