Debenhams to cut 2,500 more jobs amid pandemic

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AFP

Ailing department store group Debenhams says it will cut 2,500 more jobs as it struggles to survive the coronavirus pandemic.

This is in addition to the 4,000 announced since May, which means the retailer will have cut its workforce by a third.

The cuts will mainly affect its stores and distribution center in the UK, but he said no new stores are expected to close.

Debenhams said the current business environment for retailers is still “far from returning to normal.”

In April, the company fell into administration for the second time in a year as the coronavirus put pressure on the company.

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Earlier this year, he said 20 of his stores would remain permanently closed due to the impact of the pandemic.

Debenhams said Tuesday: “Such tough decisions are being made by many retailers right now, and we will continue to take whatever steps are necessary to give Debenhams every chance of a viable future.

“We need to make sure that the costs of our stores match realistic expectations,” he added.

The channel said those affected had been notified and thanked them for their “service and commitment.”

“We successfully reopened 124 stores after the lockdown, and these are currently trading ahead of management’s expectations,” he said.

Commercial layoffs

Debenhams could remain in administration for the remainder of this year, as lenders wait to see how he performs after the foreclosure and during the crucial Christmas negotiation period.

Like many of its competitors, the retailer was already in trouble before the pandemic forced it to suspend operations at its department stores.

News of the latest job cuts came after the British Retail Consortium said the number of high street visits was still on the decline as people shopped online instead.

The BRC said some retailers continued to struggle because of the coronavirus crisis. He reiterated his appeal for government help with rents.

Other High Street names have also announced job cuts as they fought to stay afloat.

Last week, WH Smith said he was cutting 1,500 jobs – 11% of his workforce – after the lockdown caused sales to plummet.

DW Sports, John Lewis, Marks and Spencer, Boots and Selfridges are among other big names to announce layoffs.

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