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COVID-19 impact: UK retailer Marks & Spencer cuts 7,000 jobs due to pandemic

London-based Marks & Spencer said on August 18 that the job cuts would take place over the next three months in its central offices, regional management and UK stores.

August 18, 2020 / 10:53 PM IST

UK retailer Marks & Spencer says it plans to eliminate about 7,000 jobs as it streamlines management and store operations after sales plunged during the COVID-19 pandemic.

London-based Marks & Spencer said on August 18 that the job cuts would take place over the next three months in its central offices, regional management and UK stores. The reductions represent about 9 percent of the company's workforce. Marks & Spencer said group revenue fell 13.2 percent in the quarter ended August 8, driven by a 38 per cent drop in in-store sales of clothing and housewares.

Like other retailers, the company has seen a surge in online sales as customers avoid in-store shopping the pandemic. Marks & Spencer said 68 per cent of its orders were delivered to customers' homes during the quarter, compared with 29 percent in the previous year.

The company said "there remains substantial uncertainty about market conditions and the duration of social-distancing measures, and we are retaining a cautious approach to planning for the balance of the year.
AP News
first published: Aug 18, 2020 10:53 pm
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