DUNELM will give every Yeovil staff member an "alternative role" within the business, it stated in an update.
Fire ripped through the home furnishings store in Yeovil's Quedam Centre on Sunday evening, August 25, with staff all "evacuated safely".
A spokesperson for Dunelm told the County Gazette: "On Sunday afternoon a major fire broke out at our Yeovil store. Everyone was safely evacuated, and no one was harmed in the incident.
"Our thanks go to the Devon and Somerset Fire & Rescue Service who were on site quickly and able to extinguish the fire in its entirety.
"Following significant damage to the store it will remain closed for the foreseeable future and further updates will be made in due course.
"As a top priority, we are now working closely with our colleagues who were affected by this incident to ensure they have the support they need, and all will be placed in alternative roles across the business while the store is closed.
"During this time we'd also like to remind our valued customers about the fantastic stores we have in Taunton, Weymouth, Salisbury and Exeter which will be able to serve all of their homeware needs, or they can visit us online at Dunelm.com."
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