Furniture giant IKEA Group will cut 7,500 administrative jobs, as company shifts from large physical outlets to smaller stores and online retail

Briefing

Furniture giant IKEA Group will cut 7,500 administrative jobs, as company shifts from large physical outlets to smaller stores and online retail

January 3, 2019

Briefing
  • 7,500 Lost Jobs – Furniture retailer IKEA Group will reduce global workforce by 5%, equivalent to 7,500 administrative jobs
  • New Strategy – Company shifting strategy from operating large warehouses to setting up smaller stores and moving to online shopping, as it focuses on improving its digital, delivery, and service capabilities over next few years
  • 11,500 New Jobs – 11,500 new jobs will be created, particularly to support expansion of small stores and online shopping
  • Changing Customer Behavior – Customers shifting from buying furniture in physical stores to online platforms

Accelerator
Online Commerce

Market Disruption
Technology Unemployment

Sector
Consumer Durables, Wholesale and Retail Trade

Organization
Ikea AB

Source

Original Publication Date
November 21, 2018

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