On Wednesday, the brand's parent company, Harbour Guidance Pty Ltd, appointed Lindsay Bainbridge, Andrew Yeo, and David Vasudevan of Pitcher Partners Melbourne as joint administrators.

Harbour Guidance Pty Ltd saved the brand previously in 2020 after it had entered voluntary administration but they were once again faced with a tough decision due to a decline in consumer spending and an increase in cost of living.

The effects of Jeanswest's collapse will force about 90 stores across Australia to shut down while more than 600 staff are expected to lose their jobs. 

In a statement, Bainbridge said the owners had :done everything they can" to keep Jeanswest going, but market conditions meant keeping stores open was not viable and business was "unlikely to improve".

"They deeply regret the impact of store closures on their team members and their customers, and we will be working now with teams across the country," he said.

"This is a hard day for hundreds of Jeanswest team members and we will be working directly with the team members to provide clarity and information about the next steps."

The future of the brand's online operations remains unclear but Bainbridge said stores would reduce prices on all stock immediately in an attempt to pay back creditors. 

"We will be opening the doors of all stores and selling online to clear all stock to secure a return to creditors," Bainbridge said.

The news came as Australia's retail industry takes a tough blow from cost-of-living pressures and recent inflation, making it increasingly difficult for businesses to meet their financial obligations. 

Ally fashion, one of Australia's most popular brands, was slapped with a wind up order from the Federal Court just last month.

Furthermore, embattled fashion empire Mosaic Brands, which boasted brands such as Autograph, Noni B, Katies, Millers, and Rivers went into voluntary administration on October 28.

All 80 Katies stores shut down following the major decision, with 80 other stores across Millers, Rivers and Noni B also expected to close their doors.

About 480 employees lost their jobs due to the closures. 

A shift in consumer behaviour as thousands cut back on non-essential spending is understood to have led to the rise in insolvencies and businesses entering administration across all industries.