M&S, one of the largest retail brands in the UK, has not been immune to the global economic downturn. The brand has been experiencing losses, and the company has revealed that it will be shifting IT and logistics roles out of its London office to other sites.
M&S CEO Steve Rowe justified the relocation of jobs by stating that the organisation has to become more streamlined and efficient in its style of working if it wants to recoup the recent losses and expand the business.
Rowe went on to add that making changes in an organisation is never easy. However, he feels that the proposed changes are crucial to help M&S become more profitable while ensuring optimal customer service.
The company will have a consultation with its employees, and during this discussion, collective decisions will be taken about which roles will be based in London or other offices and the roles that will be made redundant. This means that more job losses are on the horizon.
The brand had previously cut 525 jobs at its head office. Out of these, 200 were contractors and 260 were permanent employees. The rest of the job losses occurred due to normal employee departure.
While M&S has not revealed the departments that will be affected, it is believed that the changes will impact IT contractors the most since the organisation uses contractors to meet its IT needs. The staff manning the retail stores will not be affected by the proposed changes. This was confirmed by Rowe, who stated that the store employees will not be affected since the company is looking to improve its store staffing, which, in turn, will improve customer experience.
Rowe was brought in to change the fortunes of M&S. The 132-year-old brand has seen its profits slump, and this has raised doubts about its future.