11:15 am, November 13, 2024
Staff at Lookers say they are facing an uncertain Christmas for the second year in a row amid talks of sweeping cuts and redundancies.
Car Dealer reported 12 months ago that the dealer group had placed servicing teams across its dealer network at risk of redundancy in the lead up to Christmas, having been taken over by the Canadian-backed Global Auto Holdings.
Now, a year on, employees say history is repeating itself, with members of Lookers’ technology and change department said to be facing job losses.
According to insiders, staff were told last week that around 45 positions could be cut as the group’s new owners continue to change the business after its £500m acquisition.
Workers have now accused the retailer of ‘failing to reward staff that stayed last year’ with one labelling the outfit’s head office a ‘graveyard’.
The news comes after Lookers’ chief information officer, Andy Garrett, departed the company after eight years.
‘I am an employee at Lookers and I wanted to report that there has been redundancy announcements again as there was last year, close to Christmas. The business is appalling,’ one insider told Car Dealer.
‘Redundancies were made at Christmas 2023 and now again Christmas 2024. The company never rewarded any of the staff that stayed last year, the reward we now receive is the threat of more redundancies.
‘Communication from leadership is beyond poor – in fact there is no leadership left. It’s a real shame as the company used to be great and now its terrible. The atmosphere at Head Office is like a graveyard.
‘It wouldn’t surprise me if all functions moving forward were outsourced or even if the owner splits up the company and sells it for parts.’
They added: ’45 roles in the technology and change department are being made redundant. This comes on the back of the announcement that our CIO Andy Garrett has resigned.’
Another current employee, who contacted Car Dealer anonymously, said: ‘There have been internal conversations of further redundancies relating to the IT Team and possible other areas of the business, as of last week.’
Lookers did not address concerns about redundancies when approached by Car Dealer.
However, a source close to the dealer group did allay fears that sites could be sold off, following multiple site visits by estate agents, Savills.
They said that the visits were a routine part of the takeover, as the firm looks to value its current assets, and insisted there was ‘nothing sinister’ going on.
The latest accusations come after Lookers’ annual accounts, which were filed late with Companies House, showed a £1.8m pre-tax loss in the 12 months to the end of December 2023.
That followed an £84.4m pre-tax profit in 2022 and included spending £8.4m on putting approximately 14% of its workforce at risk of redundancy.
Car Dealer has contacted Lookers for comment.
