Initial talks to try to save thousands of Shop Direct jobs fail
Leaders across Greater Manchester met to discuss supporting those affected by the closure of three sites in Oldham and Salford.
Leaders across Greater Manchester have issued a joint statement revealing an initial meeting to try to save thousands of Shop Direct jobs have failed.
Last week, the online retailer announced plans to close existing sites in Shaw, Chadderton and Little Hulton in favour of opening a fully automated base in the East Midlands - impacting 1,992 employees.
The Mayor, the trade union, local authorities and local Members of Parliament, say they had no prior notice of the announcement and expressed their disappointment to the company during a meeting on Friday (13th April).
The retailer was given the option to relocate elsewhere in the city-region - including the offer of a site of a similar size, accompanied by a favourable business package, at Broadway Green, Chadderton. This was turned down.
In a joint statement, leaders said: "Regrettably, it quickly became apparent that Shop Direct have committed to their East Midlands site and their plan of a staged transition starting in two years’ time.
"Given that they appeared to have made their decision, the meeting then looked into getting the best possible support for the workforce, and securing a future for the sites affected.
"Many of Shop Direct’s staff have worked for the company in one form or another for many years, in some cases several decades and for a number of generations. It is a business with its roots deep in the North West, and we want to reassure employees that this decision is in no way a reflection of the workforce’s capability or dedication. The professionalism and commitment from Shop Direct’s employees has been second to none.
"Usdaw will be holding the company to their legal obligations to engage in a meaningful consultation and the union’s test of meaningful is that they fully explore any options of relocating to a nearby site. Moving to the Midlands is not a done deal, the staff through their trade union are entitled to a say in the future of the business.
"Usdaw recognises that even if the company decides to relocate within Greater Manchester there are still likely to be job losses due to technological changes, so we welcome the efforts that are being made to support staff whose jobs are at risk.
"The Mayor put a proposal to the meeting to establish a taskforce, led by The Growth Company, which was agreed by all parties, including both Shop Direct and the Department for Work and Pensions, and we were grateful for this.
"We will continue to do all we can to support the 1,992 people affected by this abrupt decision and to maintain jobs on the sites affected, albeit through new employers."