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Wednesday 14 August 2024 1:58 pm

John Lewis redundancies: What does the law say about department store job cuts?

By: Jon Robinson

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John Lewis is undergoing a major restructuring process. (Photo by Ker Robertson/Getty Images)
John Lewis is undergoing a major restructuring process. (Photo by Ker Robertson/Getty Images)

More UK retail jobs are set to be lost after John Lewis revealed plans to cut its headcount by more than 150 in the coming months.

The move means the department store giant becomes the latest household name to reduce its staffing numbers so far this year.

John Lewis has said it hopes to achieve the restructure through natural attrition and voluntary redundancies.

The cuts form part of a wider restructuring proposal which John Lewis revealed yesterday.

With fresh job cuts on the way, what does the law say about what John Lewis should do next?

‘Redundancy process must be fair and transparent’

Ross Meadows, partner at Oury Clark Solicitors, said: “Under UK employment law, John Lewis must adhere to statutory requirements, such as consulting affected employees and seeking alternatives to redundancy, like redeployment.

“The redundancy process must be fair and transparent, ensuring compliance with employment rights and minimising the risk of claims for unfair dismissal.

“Restructuring often heightens the risk of legal disputes, particularly if employees feel the redundancy process is mishandled or if selection criteria are unclear.

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“Effective communication and careful planning are essential to mitigating these risks.

“Given the number of potential redundancies, it could trigger collective redundancy obligations under UK law.

“This includes the duty to inform and consult with employee representatives, provide notification to the secretary of state, and adhere to specific timelines.

“Failure to comply with these requirements can lead to significant legal risks, including protective awards to affected employees and criminal liability for the directors.”

What has John Lewis said?

A John Lewis spokesperson said: “We’re seeking to make sure partners are in the right place at the right time to help customers.

“We’re also removing unnecessary tasks, and introducing new technology to make their roles easier. 

“We carried out similar changes in Waitrose earlier this year, with customer and partner feedback increasing significantly since. It’s since been ranked the no.1 supermarket for customer satisfaction.”

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