Builders’ merchant Travis Perkins is to axe 2,500 jobs and shut 165 stores
Builders’ merchant Travis Perkins is to axe 2,500 jobs and shut 165 stores because of the looming hit to its trade from the recession.
The company expects the recession to lead to lower demand this year and next.
The 165 stores earmarked for closure are mainly smaller Travis Perkins sites where it is either difficult to implement safe distancing practices, or to stay profitable.
They account for about 8 per cent of the firm’s 2,000 stores.
It also owns Toolstation and Wickes.
Some back office functions are also going under the lay off plans, which will affect around 9 per cent of Travis Perkins’ 27,500 employees.
Some 15,000 of its workers have been on the taxpayer-funded furlough scheme for three months.
Chief executive Nick Roberts said: “Whilst we have experienced improving trends more recently, we do not expect a return to pre-Covid trading conditions for some time and consequently we have had to take the very difficult decision to begin consultations on the closure of selected branches and to reduce our workforce to ensure we can protect the group as a whole.
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“This is in no way a reflection on those employees impacted and we will do everything we can to support them during this process.”
Over the last six weeks, the group has gradually reopened more branches.
Sales in May were around 40 per cent down on the prior year with “an improving trend throughout the month”.
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