Allied AutoParts is closing its doors after an internal investigation into a safety and quality concern.
The company said Thursday it is closing the retail operations of its two U.S. stores, one in Chicago and one in Nashville, Tennessee, as a result of the investigation.
The news came a day after Allied announced it was buying out the remaining U.K. retail business of AutoBrite, the company that had been handling most of its operations in Canada.
In an interview with Reuters, John Paul Daley, president of Allied, said the company was shutting down a number of parts and was moving all of its inventory to the U.N. Food and Agriculture Organization of the U to “provide the best possible environment for the growth of the company.”
“We are taking this step to ensure that we are able to meet our full vision for the future of our business,” he said.
Daley also said the chain will be reopening all of the remaining stores in Canada, the U, Europe and Asia in early 2017.
The chain’s Canada operations have been the subject of a probe into alleged safety and manufacturing defects.
“We have a number that are under investigation and we will work with the appropriate authorities to provide the facts and to provide them with the answers,” Daley said.
“It’s an important milestone for us to close the doors of the store and to continue to focus on the business of providing the best quality of products and services to our customers.”
Allied’s two U-shaped stores were closed on Wednesday in Chicago, Nashville and Cincinnati.
The Nashville store, which had a full-time staff of 12, had more than 300 employees.
The Nashville store had about 2,500 employees, including many part-time workers.
AutoBrite is part of Alliantys parent company, Ford Motor Co. and had a store in Minneapolis for more than a decade.
The chain had about 1,100 stores in North America, mostly in the U-shape.
Allied is one of the top-selling auto parts suppliers in the United States, with more than 1.3 million U.T. sales in the first quarter of 2017.
AutoParts Inc., the parent company of the two retail stores, said Thursday that it had received a letter from the UAW confirming it had filed a grievance.
The UAW is representing Allied in the matter.
“I have learned today that our supplier has contacted us and informed us that they have initiated a grievance, which we are reviewing, and that they will pursue all available remedies,” the Uaw’s president, Jerry Dias, said in a statement.
Dias said the UCA union was in discussions with Allianties management about the safety and work environment at the stores.
He added that it was important for the UWA to be in a position to provide a fair and impartial investigation and to ensure there was no retaliation against employees for exercising their collective rights.
“The UAW’s letter says it is considering pursuing a number other grievances against the companies.