Ikea to to cut 350 UK jobs amid global transformation plans

Ikea has said 350 of its employees in the UK are facing redundancy as part of its global transformation plan.

Wednesday, 21st November 2018, 11:03 am
Updated Wednesday, 21st November 2018, 12:10 pm
The proposed Ikea site works at Cuerden

The Swedish home retailer expects 7,500 jobs to be cut across its operations as it simplifies the organisation.

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Ikea pulls out of Cuerden site

"Co-workers are at the heart of our business and throughout this transformation we will have an ongoing dialogue on how to navigate these changes, to ensure we do this in a way in line with our values and ensuring that our co-workers feel supported," he said.

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The proposed Ikea site works at Cuerden

"We are confident these changes will secure the future of Ikea and will benefit its customers and ultimately its co-workers."

The company also said it will create 11,500 new jobs over the next two years through new openings and investment in delivery and digital operations.

This includes 500 new jobs at the UK's newest store in London's Greenwich, which is due to open in Spring 2019.

The UK capital is also home to a new Planning Studio on Tottenham Court Road, as part of a push towards opening smaller format stores in city centres.

Ikea

However, in May the group ditched plans to build a store near Preston amid uncertainty on the British high street as retailers are hammered with soaring costs.

Ikea had planned to open the store in 2020, creating 350 jobs.

Jesper Brodin, chief executive of Ikea's global parent company Ingka Group, said the retailer had to adapt to changing customer behaviour.

"We will put greater emphasis on making our existing stores even better and taking the opportunity to renew and reinvent our business in a way that is inspired by our history, culture and values. "