Mothercare has axed about 200 head office jobs as part of a restructuring, the struggling British-based retailer said today.
A spokesperson for Mothercare said: “Under today’s proposals, the UK business will operate with the discipline of one of our international franchisees with the autonomy to focus its offer on an in-depth specialist knowledge of its domestic market.
“These entities will be supported by more efficient and effective central business services from our Head Office. Unfortunately, this could potentially lead to around 200 roles being made redundant across our current head office structure…”
However, the reorganisation will create 50 new roles, a Mothercare spokesman added.
The move comes as the struggling chain is working to to meet a £19m cost-savings target outlined in a rescue plan struck with creditors earlier this year, Sky News had reported earlier today.
The company’s sales and profit have been hammered by intense competition from supermarket groups and online retailers in its main UK market as well as by rising costs.