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John Lewis is set to cut over 150 jobs as part of a significant restructuring plan aimed at streamlining operations and enhancing customer service. The department store giant plans to reduce its workforce by 153 roles, approximately 1% of its current staff. The company hopes to achieve this reduction through natural attrition and voluntary redundancies.
The restructuring includes a multimillion-pound investment in new technology and operational changes designed to improve customer service. The company will remove the distinction between front and back-of-store roles, allowing more staff to be available on the shop floor during peak times. Additionally, John Lewis will spend £5 million on new digital headsets to improve communication among staff, aiming to reduce waiting times for customers and increase efficiency.
These changes come as part of a broader effort to simplify processes and ensure that employees, referred to as “partners,” are in the right place at the right time to meet customer needs. John Lewis also plans to introduce mobile payment options on the shop floor and install dedicated call points in fitting rooms and collection areas to enhance customer interactions. The company believes these investments will allow staff to better serve customers and align with a “Selfridges-style” service approach.
Earlier this year, John Lewis announced a record investment in staff pay, despite financial challenges, with minimum pay rising by around 10%. However, the company confirmed it would not pay a staff bonus this year, despite reporting a return to profit. John Lewis Partnership, which also includes Waitrose, reported a profit before tax of £56 million, a significant improvement from the previous year. While overall sales were up by 1% to £12.6 billion, John Lewis stores saw a 4% decline in sales due to weaker demand for homeware and technology.
