Ikea announces plans to axe 350 jobs in the UK – here’s what’s happening
The announcement comes as part of plans to cut around 7,500 jobs globally across Ikea's operations as it simplifies the organisation
AROUND 350 Ikea employees in the UK are facing redundancy, the Swedish home retailer has announced.
It says it anticipates that 350 jobs out 12,100 UK and Ireland roles may be made redundant during the next two years.
The announcement comes as part of plans to cut around 7,500 jobs globally across Ikea's operations as it simplifies the organisation.
Ikea says these changes do not impact the majority of workers in stores and distribution units but instead the cuts are focused on global functions, service offices and other support areas.
Javier Quinones, country retail manager for Ikea in the UK and Ireland, says the company has to make difficult decisions as it adapts to a "fast-changing retail environment".
He said: "We are in fast-changing retail environment and while we continue to grow, we are evaluating how we can remain relevant in the eyes of consumers – now and in the future.
"Co-workers are at the heart of our business and throughout this transformation we will have an ongoing dialogue on how to navigate these changes, to ensure we do this in a way in line with our values and ensuring that our co-workers feel supported.
"We are confident these changes will secure the future of Ikea and will benefit its customers and ultimately its co-workers."
On a more positive note, the company said it will create 11,500 new jobs globally over the next two years through new openings and investment in delivery and digital operations.
This includes 500 new jobs at the UK's newest store in London's Greenwich, which is due to open in Spring 2019.
The UK capital is also home to a new Planning Studio on Tottenham Court Road, which is part of Ikea's push towards opening smaller stores in city centres.
But in May, the group ditched plans to build a store near Preston amid uncertainty on the British high street as retailers are hammered with soaring costs.
Ikea had planned to open the store in 2020, creating 350 jobs.
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Sadly, Ikea isn't the only retailer to announce job cuts. Last month Asda said it could cut 2,500 jobs next year as its merger with Sainsbury’s looms.
This year, Debenhams said it had earmarked up to 50 stores for closure - putting 4,500 jobs at risk.
While restaurant chain Gourmet Burger Kitchen has also announced plans to close 17 branches, affecting 250 jobs.
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