Deliveries in NSW for today will still be delivered, but there could be a delay of several hours, the company said on its website.
"Unfortunately, though, we will have to cancel all deliveries schedules for Wednesday and Thursday in NSW/ACT," the statement read.
"For those customers affected, we are currently processing a refund for any payments already made.
"We sincerely apologise and want to assure you we are working as hard as possible to return to full operations."
Customers in Queensland, South Australia, Victoria, Tasmania, and Western Australia, will not be affected.
"The health and safety of our team members and customers is always our highest priority, which is why the COVID workplace safety measures we have implemented since the start of the pandemic exceed the best practices advised by the Health Department," the statement read.
"Because of this, we are very confident that our Sydney facility will be operational again in the next couple of days."
In an automatic statement on the company's hotline, it is said the Lite N Easy facility is set to resume operations on Thursday morning, for Friday deliveries.
Any affected customers are encouraged to contact the company.