Type
Internal restructuring
Country
United Kingdom
Region
Location of affected unit(s)
Newmarket and other locations
Sector
Other Services
Personal service activities
Washing and cleaning of textile and fur products
96.10 - Washing and cleaning of textile and fur products

1,550 jobs
Number of planned job losses
Job loss
Announcement Date
17 November 2020
Employment effect (start)
Foreseen end date
1 January 2021

Description

The Johnson Service Group (JSG), the British company that makes workwear for factories and provides linen services for hotels and restaurants, has announced that it will cut 1,550 jobs to save costs, as demand for its services has decreased in the wake of the COVID-19 crisis. The majority of the job cuts (1,350) will be in the firm’s hospitality division, while 200 jobs will be cut from the workwear division, including 80 job losses at the company’s workwear plant in Newmarket, England, wich will be down completely.

The chief executive said the group had taken 'the right steps' to prepare the company for the time 'when the recovery emerges'.

The Johnson Service Group provides its services under several brands, including 'Johnsons Hotel Linen' and 'Johnsons Restaurant & Catering Linen'. The company has 16 sites across the UK, and it employed more than 6,000 people at the end of 2019.


Sources

Citation

Eurofound (2020), Johnson Service Group, Internal restructuring in United Kingdom, factsheet number 102683, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/102683.