Harvey Nichols’ support team faces impending redundancies as the business works on returning to profitability.
The layoffs are set to hit 60 staff – amounting to less than 5% of the luxury department store retailer’s overall workforce.
According to Drapers, the cuts are particularly of a “reorganisation” of the business to support future growth, streamline its operating model and boost operational efficiencies.
A collective consultation process will start soon, followed by individual consultations. Impacted employees will have the opportunity to be redeployed to other areas of the company where feasible.
Subscribe to Retail Gazette for free
Sign up here to get the latest news straight into your inbox each morning
Harvey Nichols vice chairman Pearson Poon said: “We are taking action to simplify and strengthen our business by optimising our cost structure to operate more efficiently across our support team.
He added that coming out of Covid “has been very difficult for the wider retail industry in the UK”, which faced increased inflation, cost pressures, and the loss of tax-free shopping.
“We are making difficult decisions today to ensure we are well positioned for success in a continuously evolving retail environment.”
Poon, the son of Harvey Nichols owner Sir Dickson Poon, has led the department store since last year, replacing Manju Malhotra, who resigned from her post after 25 years at the business.
Click here to sign up to Retail Gazette‘s free daily email newsletter
