Christchurch department store Ballantynes is laying off 30 to 40 staff because of earthquake damage to its central city premises.
Managing director Mary Devine says 2000 square metres of space has been lost due to the demolition of parts of the store. It's also expected fewer people will be shopping in the city when the store does reopen.
Ms Devine says it is no longer possible to pay staff who've been supported since the February earthquake.
She says mainly part time and full time sales jobs will be cut, but 250 staff will retain their positions. She says some staff may have their hours reduced.
Ballantynes is confident it will still be able to meet its target of reopening on 29 October, in time for the city's annual Cup and Show Week.
Ms Devine says closure of the central city store has been offset by growth at JB's Ballantynes cafe, which moved to Riccarton after the quake, and the company's Timaru shop.
The company expects to increase staff in its Timaru store and customer services department.
Ms Devine says the redundancies will be decided at the end of August.