John Lewis staff see bonus cut for sixth year
PUBLISHED: 11:31 07 March 2019 | UPDATED: 11:45 07 March 2019
Staff at John Lewis have seen their bonuses cut for the sixth year in a row, reducing the celebrated bonus to 3% of annual salary.
The 83,000 staff at the John Lewis Partnership will share out of a £44.7m pot, which last year stood at £74m.
The news will affect staff at Norwich’s John Lewis, as well as Waitrose staff across Norfolk in Norwich, Wymondham, Swaffham and North Walsham.
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The news came as profits plummeted at John Lewis.
Operating profit at the department store fell by 56% to £114.7m due to weaker home sales, tighter margins, higher IT costs and the cost of new shops.
Like-for-like sales at the brand were down 1.4%.
In contrast, operating profit at Waitrose recovered, climbing 18% to £203.2m.
The supermarket’s like-for-like sales jumped 1.3%.
Chairman Sir Charlie Mayfield said: “In line with expectations set out in June, our Partnership profits before exceptionals have finished substantially lower in what has been a challenging year, particularly in non-food.”
He warned that trading conditions are set to remain challenging in 2019, but that the partnership was “confident in our strategic direction and customer offer across both brands”.