Laura Ashley to shut stores and cut jobs
Laura Ashley says that it will permanently shut 70 stores and cut several hundred jobs as its business has suffered greatly due to coronavirus. Laura Ashley was already struggling prior to coronavirus, but with the hit the retail sector took, this wasn't helping them turnaround any. Sales have fallen, store closures were going on well before cities were going on lockdown, and their home furnishing sales have been weak.
721 jobs are expected to be lost because of this, and the company is seeking a buyer. As of June 2019, Laura Ashley had 2773 employees according to data from Refinitiv Eikon. Laura Ashley plans on keeping its 77 UK stores operational in the long-term and will continue selling online.
The UK's retail sector has taken a real hit over the past several years. Between Brexit and now the global coronavirus pandemic, many businesses have been hard hit, with plans for a turnaround facing factors beyond their control. It is a tough time for fashion right now in the country, but nevertheless, brands shall persist.
Photo credit: Laura Ashley, Facebook