Wetherspoon to axe up to 130 head office roles as pubs struggle due to coronavirus downturn
WETHERSPOON plans to axe up to 130 head office roles as pubs struggle due to a coronavirus downturn.
The move puts a third of the pub chain's workers at the head office at risk of losing their jobs.
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Wetherspoon has 417 workers at its headquarters, of which between 110 and 130 roles are now at risk of redundancy.
The move won't change anything for customers, as the chain told The Sun it won't result in pub closures or price changes.
Chief executive John Hutson added that no firm decision on the cuts had been made yet, and he would listen to staff in a bid to avoid compulsory redundancies.
The decision will affect all head office staff, apart from those in Northern Ireland and the Republic of Ireland.
It won't affect workers in Wetherspoon's 873 pubs.
What are my redundancy rights?
BEFORE making you unemployed, your employer should still carry out a fair redundancy process.
You are entitled to be consulted on the redundancy lay-off first and to receive a statutory redundancy payment, as long as you've been working somewhere for at least two years.
How much you're entitled to depends on your age and length of service, although this is capped at 20 years. You'll get:
- Half a week’s pay for each full year you were under 22,
- One week’s pay for each full year you were 22 or older, but under 41,
- One and half week’s pay for each full year you were 41 or older.
Sadly, you won't be entitled to a payout if you've been working for your employer for fewer than two years.
There should be a period of collective consultation as well as time for individual ones if your employer wants to make 20 or more employees redundant within 90 days or each other.
You are also entitled to appeal the decision by claiming unfair dismissal within three months of being let go.
Mr Hutson said: "The decision is mainly a result of a downturn in trade in the pub and restaurant industry generally, a reduction in the company's rate of expansion and a reduction in the number of pubs operated from 955 in 2015 to 873 today.
"Wetherspoon is proposing to collectively consult with employees through an employment representative committee, which will be established for this purpose."
He added that Wetherspoon would consider voluntary redundancy, early retirement, the option to transfer to a pub-based position and flexible working options in order to avoid compulsory redundancies.
Workers may also be given reduced hours or unpaid periods of absence, including sabbaticals and study leave.
The announcement comes as the hospitality industry has been hit hard by the coronavirus crisis.
Pubs were forced to shut in March following government orders, and couldn't reopen until July 4 in England.
A number of restaurant chains have also announced branch closures and job cuts recently due to Covid-19, including Pizza Express and Pizza Hut.
Meanwhile, collapsed into administration in March after being forced to close branches due to the pandemic.
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In a bid to help the struggling industry, chancellor Rishi Sunak has launched the Eat Out to Help Out scheme.
It gives diners 50 per cent off meals eaten in restaurants Monday to Wednesday throughout August.
Wetherspoon has signed up to the scheme, meaning pubgoers can get a burger and chips for £2.50.