The UK luxury department store Selfridges has announced that it will cut 450 jobs, or 14 percent of its workforce, with management citing poor sales amid the ongoing COVID-19 pandemic, as reported by the Sky News broadcaster on Tuesday
MOSCOW (Pakistan Point News / Sputnik - 28th July, 2020) The UK luxury department store Selfridges has announced that it will cut 450 jobs, or 14 percent of its workforce, with management citing poor sales amid the ongoing COVID-19 pandemic, as reported by the Sky News broadcaster on Tuesday.
The broadcaster gained access to an email sent to employees by Selfridges' managing director Anne Pitcher, who said that the company's predicted sales in 2020 are expected to be significantly lower than the previous year.
"As a family business, the hardest decisions are the ones that affect our people, which is why it pains me to share news today of the toughest decision we have ever had to take that we will, very regrettably, need to make a 14% net reduction in our overall headcount, approximately 450 roles," Pitcher's email read, as quoted by the broadcaster.
Selfridges currently operates two stores in Manchester, one store in Birmingham, as well as its London flagship.
Stores in the United Kingdom have faced major challenges given the rise of online retail. In July 2019, the number of empty stores in town centers rose to 10.3 percent, its highest value in four years, as reported by the British Retail Consortium.
On Monday, domestic media reported that Chancellor Rishi Sunak is planning to create a 2 percent tax on all goods bought online in order to help traditional retail stores compete.
