Type
Closure
Country
United Kingdom
Region
Location of affected unit(s)
Sunderland, Burnley, Newtown
Sector
Wholesale / Retail
Retail trade
Intermediation service activities for retail sale
47.91 - Intermediation service activities for non-specialised retail sale

1,500 jobs
Number of planned job losses
Job loss
Announcement Date
28 January 2010
Employment effect (start)
Foreseen end date

Description

Shop Direct, an owner of a number of home shopping brands, announced plans to cut 1500 jobs. The company will close three call centres in Sunderland, Burnley, and Newtown in Powys. The closures are blamed on a sharp decline in the number of customers using the phone services to shop followed by a significant increase of the proportion of sales made online from 18% to more than 60%. The GMB union has been in negotiations with the company, but as of 1 February 2010 there is no further information on the case.


Sources

  • 28 January 2010: BBC News

Citation

Eurofound (2010), Shop Direct, Closure in United Kingdom, factsheet number 70128, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/70128.