Personnel Today
  • Home
    • All PT content
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • Brightmine
    • Learn more
    • Products
    • Free trial
    • Request a quote
  • Webinars
  • Advertise
  • OHW+

Personnel Today

Register
Log in
Personnel Today
  • Home
    • All PT content
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • Brightmine
    • Learn more
    • Products
    • Free trial
    • Request a quote
  • Webinars
  • Advertise
  • OHW+

ShieldingCoronavirusLatest NewsFurloughRedundancy

Travis Perkins to shed nearly 10% of workforce

by Adam McCulloch 15 Jun 2020
by Adam McCulloch 15 Jun 2020 Photo: Shutterstock
Photo: Shutterstock

Timber and builders’ merchant Travis Perkins plans to close 165 stores and shed 2,500 jobs in the UK, in anticipation of lower demand in the wake of the Covid-19 pandemic.

With around 30,000 employees, the figure represents approaching 10% of the company’s workforce.

Travis Perkins owns a number of chains including the DIY retailer Wickes and Toolstation, and with 2,154 branches around the country is the UK’s largest distributor of building materials.

The company has started a consultation of its staff on the job cuts, which will also be in non-store roles in distribution, administrative and sales. Small, less profitable branches of Travis Perkins where it is difficult to implement physical-distancing guidance are thought to be the most vulnerable to closure.

Covid-19 redundancies and furlough

How do British and French laws on collective redundancy differ?

Latest redundancy news

Coronavirus: Temporary changes to workplace policies and procedures 

Flexible furlough guidance is ‘horrible and complex’

Which employees can be furloughed under the Coronavirus Job Retention Scheme? 

Some of the branch closures will affect Wickes, Toolstation, Tile Giant, BSS and the company’s other chains in the UK but 66 Toolstation stores in the Netherlands, France and Belgium will remain open.

The company stated: “It is evident that the UK is facing a recession and this will have a corresponding impact on the demand for building materials during 2020 and 2021. Reflecting the challenging outlook for our end-markets, the Group is taking regrettable but necessary actions to preserve the future competitiveness of the business,” Travis Perkins said.

The group did acknowledge that revenues had picked up as lockdown had eased and it had been able to open more of its stores, to the point where they were about 85% of the value of May 2019’s trading figures.

Nick Roberts, the chief executive, said: “While we have experienced improving trends more recently, we do not expect a return to pre-Covid trading conditions for some time and consequently we have had to take the very difficult decision to begin consultations on the closure of selected branches and to reduce our workforce to ensure we can protect the group as a whole. This is in no way a reflection on those employees impacted and we will do everything we can to support them during this process.”

About 15,000 of the company’s employees were furloughed for the first three weeks of the lockdown on full pay. The Travis Perkins board and top management took a 20% pay cut from 1 May for three months.

The company is said to have saved £90m a year through making use of the government’s business rates holiday.

As employers become responsible for paying national insurance and pension contributions and later a greater proportion of wages in the months to come it is anticipated that more firms will choose to make large-scale redundancies.

From September employers will have to pay the 10% difference between the current 80% furlough threshold and a revised 70% government contribution – and then 60% from October.

In July, employers can bring back their furloughed staff on a part-time basis and pay them only for the hours they work and with the government paying the balance up to the maximum threshold of £2,500 (80%).

TUC general secretary Frances O’Grady, in an interview with The Independent yesterday, said it would be “a crime” to see hard-hit industries fail because of a “rigid approach” to winding up state support.

She also called on the government to commit to exempting people who were shielding at home from strict deadlines that prevented new applications to the furlough scheme after 10 June.

And Labour has warned that the deadline means anyone diagnosed with a condition after 10 June will not be eligible for furlough, despite being forbidden from going to work.

In further news of redundancies, Johnson Matthey, which supplies materials for catalytic converters in cars, last week announced it would make 2,500 redundancies worldwide, or 17% of its total workforce. The group said the cutbacks would take place over three years.

And Heathrow said on Thursday that voluntary redundancy had been offered to all of its 7,000 direct employees.

Chief executive John Holland-Kaye said: “Throughout this crisis, we have tried to protect frontline jobs, but this is no longer sustainable, and we have now agreed a voluntary severance scheme with our union partners.

“While we cannot rule out further job reductions, we will continue to explore options to minimise the number of job losses.”

Sign up to our weekly round-up of HR news and guidance

Receive the Personnel Today Direct e-newsletter every Wednesday

OptOut
This field is for validation purposes and should be left unchanged.

Centrica announced 5,000 jobs were to go at the firm last week.

Latest HR job opportunities on Personnel Today

Browse more human resources jobs

Adam McCulloch

Adam McCulloch first worked for Personnel Today magazine in the early 1990s as a sub editor. He rejoined Personnel Today as a writer in 2017, covering all aspects of HR but with a special interest in diversity, social mobility and industrial relations. He has ventured beyond the HR realm to work as a freelance writer and production editor in sectors including travel (The Guardian), aviation (Flight International), agriculture (Farmers' Weekly), music (Jazzwise), theatre (The Stage) and social work (Community Care). He is also the author of KentWalksNearLondon. Adam first became interested in industrial relations after witnessing an exchange between Arthur Scargill and National Coal Board chairman Ian McGregor in 1984, while working as a temp in facilities at the NCB, carrying extra chairs into a conference room!

previous post
Worker awarded compensation after missed antenatal check-up
next post
Do more to protect those not covered by financial support, say MPs

You may also like

Tribunal finds need for degree in redundancy selection...

14 May 2025

Construction workers win compensation claim against defunct employer

9 May 2025

British Steel puts brakes on redundancy process

23 Apr 2025

British Steel: MPs recalled to enable nationalisation

11 Apr 2025

Met Police cuts 1,700 officers and staff in...

3 Apr 2025

Top 10 HR questions March 2025: Carrying over...

2 Apr 2025

Sky to close call centres cutting 2,000 jobs

28 Mar 2025

Reasons behind Dundee University job losses to be...

28 Mar 2025

British Steel to shed 2,700 jobs at Scunthorpe...

27 Mar 2025

April 2025: What’s coming up for HR?

21 Mar 2025

  • 2025 Employee Communications Report PROMOTED | HR and leadership...Read more
  • The Majority of Employees Have Their Eyes on Their Next Move PROMOTED | A staggering 65%...Read more
  • Prioritising performance management: Strategies for success (webinar) WEBINAR | In today’s fast-paced...Read more
  • Self-Leadership: The Key to Successful Organisations PROMOTED | Eletive is helping businesses...Read more
  • Retaining Female Talent: Four Ways to Reduce Workplace Drop Out PROMOTED | International Women’s Day...Read more

Personnel Today Jobs
 

Search Jobs

PERSONNEL TODAY

About us
Contact us
Browse all HR topics
Email newsletters
Content feeds
Cookies policy
Privacy policy
Terms and conditions

JOBS

Personnel Today Jobs
Post a job
Why advertise with us?

EVENTS & PRODUCTS

The Personnel Today Awards
The RAD Awards
Employee Benefits
Forum for Expatriate Management
OHW+
Whatmedia

ADVERTISING & PR

Advertising opportunities
Features list 2025

  • Facebook
  • Twitter
  • Instagram
  • Linkedin


© 2011 - 2025 DVV Media International Ltd

Personnel Today
  • Home
    • All PT content
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • Brightmine
    • Learn more
    • Products
    • Free trial
    • Request a quote
  • Webinars
  • Advertise
  • OHW+