London, July 20:  Marks & Spencer on Monday announced its plans to cut 950 jobs at its head office and stores citing economic crisis which erupted due to coronavirus pandemic. The move will be a major blow to UK high street retailers. The clothing and homewares retailer said that latest cuts – to store management posts as well as property and operational roles in head office would result in job losses. UK Signs Deals for 90 Million COVID-19 Vaccine Doses.

According to a report published in Bloomberg, the cuts represent about 1.2 percent of its workforce of 78,000. The company was already undergoing a transformation, including cost cuttings and store closures. Recently, the M&S took government support when furloughing 27,000 workers amid coronavirus pandemic. UK Job Losses Set to Rise Sharply as Numbers on Payroll Sink.

The M&S's measures of cost-cutting would be accelerated under a programme "Never called The Same Again", Reported BBC. The M&S said that it had started a consultation with its employee representative group, and it will first offer voluntary redundancy to affected workers. It added that the lay off would be part of a plan to move to a "leaner, faster retail management structure.

The company’s stock also plunged as much as 2.6% in London trading. In an effort to revive economic activities, the UK government has also offered businesses a 1,000 pound for every employee who returns to work. However, this measure failed to control job cuts.

(The above story first appeared on LatestLY on Jul 20, 2020 10:33 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).