Department store chain The Bon-Ton Stores Inc is to close its York Distribution Centre and consolidate all merchandise processing functions into its Whitehall warehouse in Allentown, Pennsylvania.

The company, which operates 73 stores across the east of the US, said in a news release the warehouse will shut next April with the closure impacting 65 hourly workers and five managerial associates.

The firm said the move is a result of recent streamlining which will allow it to service its current and future stores from one distribution centre, with the Whitehall centre able support all Bon-Ton stores as well as to expand its services to support future growth.

Jerry Farnham, vice president of distribution of the Bon-Ton stated: "The York Distribution Centre associates have continually answered the challenges we have given them and we are very proud of their contribution. It was a very difficult decision to make."