THE HUB RETAIL RECRUITMENT’S WEEKLY NEWS SNIPPETS
- Date: 5 October 2016
- Posted By: admin
Well they say a week in politics is a long time – and certainly that seems to hold true for Diane James – who has resigned after 19 days in charge of UKIP. No doubt we’ll find out in the fullness of time what that was all about. In the meantime, here’s our top stories for this week: John Lewis loses Andy Street; Tesco – apples and pears; National minimum wage rise; and UK employment practices under scrutiny.
John Lewis loses Andy Street: Has he disappeared? Is he dead? No, Mr Street is pursuing a political career – in Birmingham, running for Mayor in his home town. And no doubt with bigger ambitions beyond that. Mr Street’s reign at JLP has undoubtedly been a strong one. As you’ll see in this article, when he took over JLP had only opened one store in the preceding six years – during Mr Street’s time it’s seven, and 12 ‘At Home’ outlets, expanding the digital part of the business, with overall sales increasing by 70% during his 10 years in charge. A record to be proud of. And let’s not forget the Christmas advert – it’s become a hotly anticipated part of Christmas these days – and Mr Street was the one to introduce it. But as we know, the fortunes of the High Street are ‘challenging’ these days. Perhaps Mr Street decided politics might be a better bet all round. So the question now is, who will replace him? Those tipped to take over are all insiders – JLP tends to promote from within. We’ll keep you posted.
https://www.theguardian.com/business/2016/oct/01/john-lewis-boss-andy-street-abrupt-departure-challenging-times
Tesco – apples and pears: They say you can’t compare the two. And certainly, the news first thing this morning wasn’t good – Tesco’s pre-tax profits were down by a whopping 28%. But later in the day its price share was up by 10%! Who knew!? Apparently, there’s sales, and then there’s pre-tax profits. Tesco’s sales have held firm for the 3rd consecutive quarter – which is good. It’s the operating costs that are bad. So it would appear that the share price is buoyant because Dave Lewis, Tesco’s CEO has a plan to address the profitability issue – a 3-year plan no less, that he says will cut costs by an eye-watering £1.5b. Let’s hope it’ll be about having better and more efficient systems and processes, rather than wholesale job cutting.
http://news.sky.com/story/tesco-grows-sales-but-first-half-profits-fall-28-to-16371m-10606021
National minimum wage rise: The national minimum wage (NMW) rose by 25p on 1st October for age groups 21-24; and 18-20 year olds. It might not sound like much to many, but it is the highest ever increase. And the debate rages on about the NMW. The TUC isn’t happy because it wants everyone to get the same rate, regardless of age; and employers say they can’t afford it so are having to reduce other benefits in order to meet the extra cost. Others are saying that at a time when the future of the UK economy is uncertain as we leave the EU, it’s not the right time to be putting pressure on employment. What do you think?
UK employment practices under scrutiny: Theresa May has appointed Matthew Taylor, CEO of the Royal Society for the encouragement of Arts, Manufactures & Commerce (RSA), to review the UK’s employment practices. The review will examine six areas: security; pay and rights; rights and responsibilities; opportunities for under represented groups; new business models; and progression and training. Within these six areas, employment status definitions will be examined, along with pay, pensions, and parental rights. This is something we’ll be keeping a close eye on.
Government orders review of employment practices in changing world of work
Well, that’s our news snippets for this week. Hopefully, you’ve found something of interest. There’ll be more for you to feast your eyes on next week – Wednesday, 12th October. Have a great week until then.