Boots has revealed that it is cutting around 300 office jobs at its headquarters in Nottingham as it adapts to “changed consumer behaviours” formed during the pandemic.
Sales at the health & beauty chain have fallen heavily over the last year as shopper footfall plummeted at its high street, train station and airport locations. The business has also suffered as consumers favoured one-stop grocery shopping with Tesco overtaking Boots in the personal care and toiletries market last year.
As with other retailers, Boots’ e-commerce business has prospered with sales from its online store surging up 106% in its last quarter.
The latest round of job cuts could lead to a 10% drop in support office staff with a 45-day consultation currently underway. No store roles will be impacted.
Sebastian James, Managing Director of Boots UK, said: “The events of the last year have changed consumer behaviours forever and we must adapt our business to meet these new needs.
“This means investing in our digital business, serving customers more efficiently and, above all, becoming much swifter and more agile.”
In July last year, Boots announced plans to cut up to 4,000 jobs and close opticians practices across the UK as it accelerated its turnaround programme to mitigate the impact on its business from the pandemic. The company has also reduced staff numbers at its HQ in recent years as part Walgreens Boots Alliance’s wider cost-cutting programme.
NAM Implications:
- Sales have declined by 9.1%, 29.2% and 48% over the past three quarters…
- …losing sales from its high street, train station and airport locations, and one-stop grocery shopping…
- Despite 106% rise in online.
- Problem being a permanent shift to online means there could be more cut-to-fit required…
