M&S shedding jobs but growing online fuflillment
The deal with Ocado can’t come fast enough, and is due to start in September.
The company said it would reduce headcount by c. 7,000 roles over the next 3 months.
Concurrently M&S expects to create new jobs as it invests in online fulfilment and a new ambient food warehouse.
M&S said its Castle Donington facility coped well with the increase in online orders over the period.
The company added: “The transition to taking over the supply agreement with Ocado Retail is on track for September and we are beginning to see the benefits as planned in the form of trading terms and the launch of over 500 new products in M&S stores from the expanded online range created for the switchover.
“We are making good progress in our ‘Vangarde’ supply chain effectiveness programme working with our logistics partner GIST, along with the new ambient food warehouse in Milton Keynes with our partner XPO Logistics.”
Revenue growth or decline varied greatly by division, with Clothing & Home down almost half in the 19 weeks to 8 August. Food was down 1.1% in the same period, while Clothing & Home.com, and M&S.com grew by 32% and 38.9% respectively.
