Boohoo 'to cut staff' in London office
Digital fashion giant Boohoo Group is preparing a round of redundancies at its Soho, London, office. Boohoo reportedly said the job cuts were in line with its focus to improve its operational performance, as set out in its half-year trading update on September 28.
The retailer is consulting on more 100 than redundancies, reported The Times. Most of the roles at risk are in the e-commerce, buying and design departments, the report said.
A consultation phase began last week but a decision on the final number of roles to be axed hasn’t been made, Boohoo noted.
The redundancies could well stem from the group’s consolidation efforts. From February 20, teams from brands Boohoo acquired last year, such as Burton, Coast, Dorothy Perkins, Karen Millen, Oasis and Wallis, will move under the Debenhams.com umbrella.
Boohoo bought Debenhams for £55 million in January 2021. The online business and the intellectual property of Oasis and Warehouse were bought out of administration in a £5.25 million cash deal with Hilco Capital.
Boohoo told The Times: “We are committed to our portfolio and believe that all of our brands have a significant role in the ongoing success of the group and are maximising their individual potential for growth.”
All this comes as the company battles weaker sales post-pandemic after benefiting from the upswing in online shopping during lockdown and in the immediate post-pandemic period. Its problems in recent periods have seen its share price plummeting.
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