Workers have been told the Dundee branch of tool hire firm HSS Hire will close.
The business hires and sells a wide range of equipment, ranging from power tools to cleaning and decorating kits.
It operates from Dryburgh Industrial Estate in Dundee.
Branches in Aberdeen, Inverness and Kingston Bridge, Glasgow, will also shut.
The last day the branches will open is October 23.
Shock at HSS Hire closure
One Aberdeen member of staff said the decision had come “out of the blue” as the branch was busy.
“When we were called into the meeting, I thought it might be to say that Dundee was closing as it’s not a busy depot and we cover some of their jobs anyway.
“But it was to say we’re all closing. It was 100% out of the blue.
“It’s apparently because we’re not making enough money but we’ve got loads of jobs.”
The Aberdeen branch has nine workers, with three members of the sales team staying on to work from home.
It is understood there will be two redundancies in Dundee and four in Inverness.
Group restructure
HSS Hire Group is in the process of splitting up the hire and sales side of the business, with different management teams.
In a recent stock market update, chief executive Steve Ashmore said the operational separation of HSS Proserve and HSS Operations will “enable each business to pursue complementary growth strategies under independent leadership teams with greater control over resources and investment decisions”.
He added: “We are confident will fully unlock the growth potential of each business and provide greater optionality to maximise future value for shareholders.”
HSS has been asked to comment.
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