Dutch chain Blokker will undergo a restructuring program, which means 440 jobs in Holland will be cut, while its new formula will also be expanded more quickly. The board has already confirmed the news.
440 jobs cut
"Blokker is taking measures to strengthen its position in the "household" branch and to adapt itself to the needs of the contemporary consumer", a statement by the company stated. Blokker's wage cost "has to be aligned with the declining turnover in its stores", meaning that 440 store employees will be fired. The move will not harm any of the 100 franchise stores in this regard, but in total, 6 % of the employees will be shown the door.
The board also feels employees should be more flexible regarding their working hours and has filed a request for advice to its employee council. It has also announced it will talk to labour unions regarding a redundancy plan.
"Faith in the future"
Nevertheless, Blokker has faith in its future, general manager Jack Peters said. The company will continue its store and omnichannel investments. Blokker's online turnover has allegedly grown more than 40 % this past year, which clearly shows why it will keep investing in this area. "We have even grown our online turnover 65 % in the final quarter of 2014", the company said.
Its new physical store concept, tested over the past few months in 7 pilot stores, has also been considered a success as they have registered a clear turnover increase compared to the other stores. That is why the company will invest further to expand the new concept", Peters said.