The company said that sales had failed to bounce back after lockdown restrictions were eased, saying it would shut two department stores in Watford just north of London and Birmingham in central England as well as smaller stores in London like in Croydon and Heathrow Airport.
In a statement posted on its website, John Lewis said: “The shops identified for closure include two of the smallest in the estate - travel hub shops at Heathrow and St Pancras, four At Home shops in Croydon, Newbury, Swindon and Tamworth and two full-size department stores in Birmingham and Watford. Approximately 1,300 Partners [employees] across the eight shops will now enter into consultation.
“If redundancies are confirmed, every effort would be made to find new roles where possible for Partners who wish to remain within the Partnership.
“Opportunities could include transferring to local Waitrose shops or working for johnlewis.com and waitrose.com as they continue to grow.
“The Partnership has also made a commitment to provide support through a unique Retraining Fund, which will contribute up to £3,000 towards a recognized qualification or course for up to two years for any Partner with two years’ service or more.
“All Partners would be given access to a three-month support program with an outplacement specialist to help with CV writing and interview skills.”
John Lewis says that the eight stores which will close were already facing financial difficulties before the pandemic, which had simply “accelerated the switch from shopping in-store to online.”
Sharon White, Chairman of the John Lewis Partnership said that the closures were necessary to secure the sustainability of the partnership.
She said: “Closing a shop is always incredibly difficult and today’s announcement will come as very sad news to customers and Partners. However, we believe closures are necessary to help us secure the sustainability of the Partnership - and continue to meet the needs of our customers however and wherever they want to shop. Redundancies are always an absolute last resort and we will do everything we can to keep as many Partners as possible within our business.”
It comes as pharmacy chain Boots said it expects to cut more than 4,000 jobs to mitigate the “significant impact” of Covid-19.
The company has also said that 48 Boots Opticians stores will be closed after sales fell by 48 percent over the past three months in the face of the pandemic.
Sebastian James, Managing Director, Boots UK, said: “The proposals announced today are decisive actions to accelerate our Transformation Plan, allow Boots to continue its vital role as part of the UK health system, and ensure profitable long-term growth. In doing this, we are building a stronger and more modern Boots for our customers, patients and colleagues.”
U.K. Chancellor Rishi Sunak set out a range of measures in his Summer Statement designed to protect jobs.
The chancellor says the government is “throwing everything” at stemming job losses with a £30bn stimulus package, including paying firms a £1,000 bonus for every staff member kept on for three months when the furlough scheme ends in October.
The furlough scheme was designed to prevent mass unemployment as large parts of the economy were shut down during lockdown, with the government paying 80 percent of employees wages, up to a limit of £2,500 a month, before it is wound down and ends in October.
