2161. Friday 24 July 2020 - Wyong Distribution Centre strike action and site closure . Woolworths has closed two distribution centres in Melbourne until further notice after more employees tested positive to coronavirus in recent days. Woolworths announced three current distribution centres would be closed to make way for the robotic site. The supermarket giant is desperately trying to limit infections among staff as potential stock shortages loom at stores across the state if the closure of the distribution centres is prolonged. Woolworths says it is building two highly automated distribution centres in Sydney, which will result in the loss of 1,350 warehouse jobs. Woolworths announced a year ago it planned to close up to 30 of 183 Big W stores and two distribution centres over three years in an attempt to restore the chain to profitability. COVID case forced Woolworths delivery centre to close 6 July 2020, Written by David Simmons A Woolworths (ASX: WOW) customer fulfilment centre (CFC) that services online orders in Melbourne was shut down over the weekend after a team member tested positive for COVID-19. All three centres will be closed in 2025. A coronavirus outbreak has caused two Woolworths distribution centres in Melbourne's south-east to shut after more than a dozen cases of COVID-19 … Another 12 employees tested positive over the weekend in addition to […] 2 Dursley Rd (Lot 4 DP791494), YENNORA, New South Wales, Australia. Woolworths also conducted surface testing for the presence of COVID-19 in both warehouses, which came back negative, but one worker said it was completed five minutes after the area was cleaned.The Shop, Distributive and Allied Employees Association met with the company on Monday afternoon, with state secretary Michael Donovan informing workers the union wanted to make sure all staff were healthy and it was safe to work when the sites reopened.An outbreak of 17 coronavirus cases has shut Woolworths’ two distribution centres in Melbourne’s southeast indefinitely.“All other Victorian distribution centres remain open and continue to dispatch stock deliveries to stores as normal.”Workers at both distribution centres had been growing increasingly frustrated at the delays in closing the warehouses for deep cleaning despite the mounting cases before Saturday night.It’s understood a temporary facility is being set up in the carpark, and workers will need to return a negative test result before they are allowed to return to both sites.The company spokesman said both sites had since been forensically cleaned and they would work closely with the DHHS to determine when they could resume operations.A Woolworths spokesman said the company would lean on the distribution centre at Wodonga and a pop-up site in Somerton as well as third party providers to help deliver stock to supermarkets.Across the weekend 12 workers from the produce warehouse returned positive test results – six on Saturday and six on Sunday – taking the total number to 13, while four employees have also contracted the virus at the adjacent national site.“We’re currently using temporary measures to deliver produce from alternative distribution centres to ensure we can maintain fruit and vegetable supply in our Victorian supermarkets,” he said.Potential stock shortages loom at Woolworths’ Victorian stores after its two Melbourne distribution sites were forced to shut due to an outbreak.Workers at two Woolworths distribution centres in Melbourne were offered overtime shifts before being told about multiple coronavirus infections onsite.Woolworths was made aware of the first case on July 13, with two more cases reported on July 16 and another two on July 17 before the site was closed on July 18 following six more cases.NCA NewsWire has been told hundreds of workers have been directed by the Department of Health and Human Services to self-isolate until at least the end of the month.Woolworths has introduced a range of strict new measures as coronavirus cases rise in Victoria. More than 1300 jobs are being slashed at Woolworths. Woolworths said it expected to spend up to $275m extra on coronavirus costs for the quarter.This came on top of healthy increases in the previous three months, but profit has been dampened by costs due to the coronavirus lockdown including the closure of the group’s hotels and increased restocking of shelves.The actual cost will be higher again because Woolworths has not included interest or the cost of running the remediation program in its estimate.He said Woolworths was “committed to supporting team members at sites that will close”.This is a blowout of at least $90m from the previous estimate of between $200m and $300m in what was already believed to be Australia’s biggest wage underpayment case.The three existing sites employ 1,350 people but the new ones, which Woolworths expects to cost between $700m and $780m, will employ just 650.“Woolworths and Coles should pay to upskill and train their existing warehouse workers in the jobs of the future rather than hiring new workers.