Friday 14 August 2020 10:28 am

River Island to cut a further 350 jobs in management restructure

River Island is set to cut up to 350 more jobs in a management shake-up.

It comes a month after the high street retailer unveiled plans to let go 250 head office staff as a cost-cutting measure due to the coronavirus pandemic and a significant reduction in footfall.

The company is now set to target jobs within its shops and as many as 350 store management and senior sales roles are at risk as part of a retail team restructure.

Read more: River Island to axe 250 head office roles

In an internal memo, chief executive Will Kernan told staff that River Island was in “the process of restructuring our retail teams by simplifying our store management structures”.

“We need to make sure we have the right structures in place to deliver our omnichannel strategy, and to continue to deliver the amazing River Island in-store experience that our customers know and love,” he said.

“With a heavy heart, I can confirm that these changes will potentially impact up to 350 store management and senior sales roles.

“Whilst this is an incredibly difficult decision, these actions are crucial to ensure that our stores continue to effectively play their hugely important role in our omnichannel future.

“By making these changes, we will create a flatter management structure with a greater emphasis on customer service and a seamless experience whether online or in-store.”

River Island said the latest restructure would allow it to simplify its store management structures and better deliver its multichannel strategy.

“We need to make sure we have the right structures in place to deliver our omnichannel strategy, and to continue to deliver the amazing River Island in-store experience that our customers know and love,” chief executive Will Kernan said in a internal memo to staff.

“We are now in the process of restructuring our retail teams by simplifying our store management structures.

“With a heavy heart, I can confirm that these changes will potentially impact up to 350 store management and senior sales roles.

“Whilst this is an incredibly difficult decision, these actions are crucial to ensure that our stores continue to effectively play their hugely important role in our omnichannel future.

“By making these changes, we will create a flatter management structure with a greater emphasis on customer service and a seamless experience whether online or in-store.”

Read more: Two-in-five businesses expect to cut jobs in the next six months

River Island has 300 stores across the UK and has reportedly considered a Company Voluntary Arrangement (CVA) or other form of administration.

The company has considered closing stores and slashing rent costs as a way to save money.

However, the board is uncertain whether creditors would approve a CVA due to its stable financial footing. It would require at least 75 per cent of them to approve it.

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