Unite the union predicted "havoc and chaos" for Argos customers in the run-up to Christmas as its drivers said they would strike for 72 hours starting 20 December.
Union members voted overwhelmingly for the walkout after it said Argos had failed to pay holiday back pay for two years, amounting to £700 per worker on average.
With drivers set to strike from next Tuesday, returning to work on Christmas Eve, deliveries of gifts look to be at risk.
The dispute centers on Argos' flagship distribution centre at Wincanton in Staffordshire which is at the centre of the chain's operation, supplying its other centres around the country.
Unite regional officer Rick Coyle said: "The drivers have patiently tried to resolve this matter for over two years. Now they would like the money they are owed in time for Christmas, which is not unreasonable.
"It is very difficult to understand why Wincanton has allowed this saga to get out of hand."
“There will be a lot of very unhappy Argos customers, if they don’t receive the iPhones, TVs and ‘white’ goods that they have ordered as presents for relatives this Christmas.
“We can assure Argos customers that strike dates are only being announced as a last resort and that Unite’s door is open 24/7 to try and settle this long-standing dispute."
An Argos spokesperson sought to play down the potential impact of the strike: “We have contingency plans in place and there will be no impact on customers.”
The news comes after Post Office workers announced their own walkout on Monday.