SWEDISH furniture giant Ikea has announced 7,500 workers could be made redundant as part of a transformation plan.
The firm says around 350 UK employees could be out of the jobs in the next two years.
Chiefs at the Ingka Group, which owns Ikea, say the company will focus more on its digital capabilities and simplifying its business model to make it more convenient for customers.
They say the changes will ‘secure the future’ of the company.
The Ikea store in Coventry has been a central part of the city’s shopping district for a decade.
Chief executive of Ingka Group Jesper Brodin said: “We continue to grow and perform strongly.
“At the same time, we recognise that the retail landscape is transforming at a scale and pace we’ve never seen before.
“As customer behaviours change rapidly, we are investing and developing our business to meet their needs in better and new ways.
“We will put greater emphasis on making our existing stores even better and taking the opportunity to renew and reinvent our business in a way that is inspired by our history, culture and values.”
It added that thousands of jobs will also be created by opening around 30 new customer data centres – IKEA touchpoints – as well as investments in existing stores.
Ikea UK and Ireland country retail manager Javier Quinones said: “We are in fast-changing retail environment and while we continue to grow, we are evaluating how we can remain relevant in the eyes of consumers – now and in the future.
“While the opportunities ahead of us are exciting, we know that some of the changes won’t always be easy and in some cases, we will have to make difficult decisions.
“Co-workers are at the heart of our business and throughout this transformation we will have an ongoing dialogue on how to navigate these changes, to ensure we do this in a way in line with our values and ensuring that our co-workers feel supported.
“We are confident these changes will secure the future of IKEA and will benefit its customers and ultimately its co-workers.”