1,350 jobs are be axed at La Redoute

1,350 jobs are be axed at La Redoute

The future owners of Kering's mail order unit La Redoute have announced that a total of 1,350 jobs are be axed over a four-year period as part of a strategy to return the company to growth in 2016.

The firm's existing CEO Nathalie Balla and Eric Courteille, chief administrative officer of parent company Redcats, agreed to buy the company in December.

They told a meeting of the company's works council today (9 January) that 1,178 jobs are to go at La Redoute and a further 172 at its delivery arm, Relais-Colis.
Priority will be given to negotiating early retirement and voluntary redundancy agreements with staff.

The company underlines that there are likely to be "significantly fewer" compulsory lay-offs than in a 2008 restructuring plan at Le Redoute, when 672 were forced to leave.
A staff union official said the news was "a body blow" as the restructuring plan would effectively almost halve La Redoute's workforce in France.

"I'm flabbergasted at the number of jobs to be axed - even if they are being spread over time and compulsory redundancies are limited. There is also the question
of what conditions those staff being kept on will be working under? It's hard to take in."

Kering has confirmed that it will contribute EUR315m US$428m) to the "economic transformation" of the company as well financing staff redundancy measures.