Dixons Carphone to get rid of 800 managers in UK stores | Business

0
43


Dixons Carphone is ditching 800 managers in its stores as it continues to cut costs despite increased demand for laptops, displays and game consoles during the lockdown.The retailer is the latest big name on the streets to announce job losses as the economic upheaval created by the coronavirus pandemic takes its toll. The job blow comes on top of 2,600 layoffs announced Monday at retail and gym chain DW Sports and tour operator Hays Travel.

Dixons said he was cutting jobs to create a “lean” management structure in his stores. The retailer will cut the retail manager, assistant manager and team leader positions and create more customer-oriented jobs. The changes would result in an overall reduction of 800 roles, he said.

Sign up for the daily Business Today email or follow Guardian Business on Twitter at @BusinessDesk

The restructuring comes on top of the 2,900 jobs lost in April when Dixons shut down the ailing Carphone Warehouse chain, which had 531 stand-alone stores. Instead of running dedicated mobile phone stores, the company sells handsets through “in-store shops” at 305 Currys PC World stores and online.

The poor performance of the company’s mobile arm, coupled with the costs of store closings during the lockdown, caused the retailer’s pre-tax profits to drop 50% to £ 166million as of May 2.

Mark Allsop, Chief Operating Officer, said: “We want to… create a flatter management structure and allow our customers to shop with us, however they want,” he said.

LEAVE A REPLY

Please enter your comment!
Please enter your name here