By Kristy Dorsey
The gloom over the high street has deepened with news that retailers Boots and John Lewis will between them shed more than 5,000 jobs.
The pharmacy chain said it expects to cut 4,000 jobs to mitigate what Boots described as the “significant impact” of Covid-19 on its business. John Lewis is permanently closing eight of its stores, putting 1,300 staff at risk.
Boots’ restructuring will affect about 7% of its workforce, and will also result in the closure of 48 Boots Opticians stores. In addition to customer-facing roles, those in its support office in Nottingham will be particularly affected.
As an essential retailer, Boots was able to keep a large number of its stores open throughout lockdown. Even so, retail sales during the past three months tumbled by 48% in the face of the pandemic.
READ MORE: Food chain warns up to 1,600 jobs at risk
The impact was more pronounced in its opticians business, with sales plunging by 72% compared to the same period last year.
Sebastian James, managing director of Boots UK, said the company will do “everything in our power to provide the fullest support” for those affected.
“The proposals announced today are decisive actions to accelerate our transformation plan, allow Boots to continue its vital role as part of the UK health system, and ensure profitable long-term growth,” he said.
The John Lewis stores due to close are all based in England, and were all “financially challenged” prior to the pandemic.
READ MORE: Cycling surge fails to overcome motoring downshift at Halfords
Approximately 1,300 workers will enter consultations over the job cuts. If the redundancies are confirmed, John Lewis said it will make “every effort” to find new roles where possible across the group.
The group estimates that as much as 70% of John Lewis sales will be made online this year, compared to 40% before the coronavirus crisis. The shift towards online has seen the company double capacity at its Waitrose supermarket arm, with plans to invest further in the John Lewis online offering.
“Closing a shop is always incredibly difficult and today’s announcement will come as very sad news to customers and partners,” chairwoman Sharon White said.
“However, we believe closures are necessary to help us secure the sustainability of the partnership and continue to meet the needs of our customers however and wherever they want to shop.”
Why are you making commenting on The Herald only available to subscribers?
It should have been a safe space for informed debate, somewhere for readers to discuss issues around the biggest stories of the day, but all too often the below the line comments on most websites have become bogged down by off-topic discussions and abuse.
heraldscotland.com is tackling this problem by allowing only subscribers to comment.
We are doing this to improve the experience for our loyal readers and we believe it will reduce the ability of trolls and troublemakers, who occasionally find their way onto our site, to abuse our journalists and readers. We also hope it will help the comments section fulfil its promise as a part of Scotland's conversation with itself.
We are lucky at The Herald. We are read by an informed, educated readership who can add their knowledge and insights to our stories.
That is invaluable.
We are making the subscriber-only change to support our valued readers, who tell us they don't want the site cluttered up with irrelevant comments, untruths and abuse.
In the past, the journalist’s job was to collect and distribute information to the audience. Technology means that readers can shape a discussion. We look forward to hearing from you on heraldscotland.com
Comments & Moderation
Readers’ comments: You are personally liable for the content of any comments you upload to this website, so please act responsibly. We do not pre-moderate or monitor readers’ comments appearing on our websites, but we do post-moderate in response to complaints we receive or otherwise when a potential problem comes to our attention. You can make a complaint by using the ‘report this post’ link . We may then apply our discretion under the user terms to amend or delete comments.
Post moderation is undertaken full-time 9am-6pm on weekdays, and on a part-time basis outwith those hours.
Read the rules here