With people not stepping out due to the pandemic, the online industry is booming but the retail business has been badly hit. With a lot of shops shutting down and employers unaware of the future, thousands of people are losing their jobs.
While this is the case all over the world, the retail brand, Marks and Spencer also made the fact pretty evident that business has changed ever since the pandemic hit. With more than 3 months in lockdown, the sales of the brand have been affected badly which has now resulted as a threat on jobs. M&S has now decided to cut 950 employees out of jobs.
The clothing and homewares retailer M&S informed that the job losses would come from central support functions in its property and field operations as well as its store management network. The cuts will represent about 1.2% of its workforce of 78,000.
M&S follows department-store chain Debenhams Plc, Walgreens Boots Alliance Inc.’s drugstores and the John Lewis Partnership Plc, owner of the upmarket grocer Waitrose, in announcing drastic job cuts. Britain’s retailers are struggling to return to normal after months of store closures as lockdown measures have been eased.
The retailer has been trying to turn around for at least the last decade. When it announced its results in May, Chief Executive Officer Steve Rowe said the crisis may accelerate turnaround efforts at a business with a “history of slow cultural change.”
M&S has struggled in a highly competitive grocery market. In May, the company informed that it was outperforming its worst-case coronavirus scenario after reacting quickly to the pandemic, cancelling about 100 million pounds ($122 million) of clothing and home orders.
Not only Marks and Spencer, but retail brand like Ted Baker is also preparing to lay off 500 employees after already laying off 160 in February.
With the permanent change in retail scenario, we can only hope things can get back to normal as soon as possible.
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