Alliance Boots Announces Cuts of 900 Non-Store Based Roles
Pharmacy giant Alliance Boots is to cut about 900 non-store based roles in the UK over the next three years.
Alliance Boots says the cuts will be made within the health and beauty division and related contract manufacturing activities, and will mostly hit jobs in Nottingham.
Boots said the move is intended to help drive future growth while providing best support for stores, with the aim of reducing operating costs by about £56 million a year by 2013-14.
Alliance Boots plans to create to a leaner central support organisation, supported by new systems, streamlining manufacturing operations and optimising supply chain activities.
Exceptional charges related to the moves are likely to total £67 million.
Boots stressed that the moved would not affect the employee base within UK stores and said the redundancies represented less than 10 per cent of the UK non-store workforce of the businesses affected.
Where possible, the reduction would be achieved through staff turnover and by offering redeployment to other areas within the group, Boots said.
Alliance Boots chief executive of the health and beauty division Alex Gourlay said: “Our intention is to be open and transparent about how we see the future, but we understand the impact that today’s announcement may have on our people.”
“The leadership team is fully committed to supporting them in the months ahead as we further evolve our organisation,” he added.