More than 1,500 jobs are at risk after virgin media announced plans to close Swansea centre and how the company behind fashion brands Jacques Vert high and on the verge of collapse.
Over 1,000 jobs on the line Calvetron. Administrators are expected to be officially appointed to the parent group, Style Calvetron company, on Friday for the second time this year.
Virgin media confirmed that it was cutting jobs as part of a shake-up that will be associated with the closure of its call centre in Swansea and another in Nottingham in the next two years. In Swansea center staffed 792. Some of the roles has been switched to Manchester.
The telecommunications company said the decision was part of a plan of £40 million to create “fewer, higher-quality jobs.”
Virgin media, which has 14 000 employees in more than 100 sites, is reducing the number of operations centres from eight to four, the establishment of major regional centres in wythenshawe in greater Manchester, Bellshill near Glasgow, Gateshead, Teesside and value.
Swansea West MP, geraint Davies, called the job cuts as “a disaster for our city.”
“I’m in shock from the virgin of job loss, which is a traumatic shock for each family and a body blow Swansea”, – he said.
Carolyn Harris, Swansea East has stated, virgin media was ill-treated and were “questions” about job loss.
Chief Executive of virgin media, Tom Mockridge said: “we proposed the closure of a small number of our offices in the next two years, including our call centre in Swansea and our current site in Nottingham.
“These changes will help to deliver a more agile, digital-focused experience that our customers increasingly expect as standard”.
Last summer, Calvetron was reorganized into rescue operations, which resulted in several hundred jobs. It was purchased by a group of investors, which at that time was the former owner of Jaeger, Harold Tillman and businessmen Sandeep Vyas and Hasib Aziz.
The business has secured £12.5 million loan from secure Trust Bank to Finance its turnover.
But since then, Fashion retailers faced extremely tough market. Weather – unusually warm autumn last year and miserable spring this year – combined With the pressure on consumers, rising cost of labour and imported goods, the constant switching to online shopping and the trend for buyers to spend more on leisure than fashion, to create a tough retail environment.
The closing of the store is planned for the New look and the site of carpetright, while toys R us in the workshop collapsed. Mothercare and Homebase is also expected to close shops as they struggle to find new sources of funding.
Calvetron problems were compounded by difficulties in debenhams and house of Fraser, two of its biggest trading partners.
On Wednesday, house of Fraser said that the closure of the store was as part of a deal restructuring that will give control of the retail network on the Chinese owner of Hamley. Hundreds of jobs are expected to go.
At the time of salvation 2017, Calvetron was over 1200 UK employees, working in stores, in Department stores, and another 400 abroad in countries such as Belgium and Canada.
Calvetron was not available for comment.