Greggs warns of tough times for ‘foreseeable future’ as it plans cuts

Business

Greggs has warned that trading will remain “below normal for the foreseeable future” as it plans cost-cutting measures that could see jobs go.

The high street bakery chain said sales were recovering but were still almost 25% below last year’s levels in recent weeks, following an even tougher August.

It confirmed that it had launched a consultation with employee and union representatives, first revealed earlier this month, but would seek “minimise the risk of job losses” by instead reducing hours in shops.

Greggs is launching the plan as the government’s furlough scheme comes to an end.

“With the Job Retention Scheme planned to end in October we are taking steps to ensure that our employment costs reflect the estimated level of demand from November onwards,” Greggs said.

“With business activity levels remaining below normal for the foreseeable future we must change the way we work to be as productive and flexible as we can in order to protect as many jobs as possible for the long term.”

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