John Lewis is planning to close its distribution centre in Leith, Edinburgh with the loss of 78 jobs.
The retailer is centralising distribution at its existing delivery hub in Lister Street, Glasgow, where it will create 40 new jobs.
The site will close in October.
A John Lewis spokeswoman said the site in Leith is “no longer suitable to support the growing business.”
“At the beginning of this year we began discussions with partners at our Edinburgh distribution hub about the future of the site, and after a consultation we have now confirmed that the site will be closing. Our site in Leith is no longer suitable to support our growing business, and by consolidating work in our more modern facility in Lister Street, it will enable us to run a more productive model.
“We created an additional 40 new jobs at our Glasgow site as a result of this change, with the hope that a number of partners currently at our Leith site would apply for these roles, or others elsewhere in our business.”