Lloyds embarks on restructure with possible redundancies

Latest

Lloyds embarks on restructure with possible redundancies

In Latest

Hit by rising costs and falling income, LloydsPharmacy has told staff it will soon embark on a restructuring process that could spell redundancy for a number of employees.

A message from McKesson UK CEO Toby Anderson sent by the company’s Store Communications division on Monday July 6 and seen by Pharmacy Network News thanks LloydsPharmacy workers for their “ongoing hard work and commitment” during the coronavirus crisis, but says a “volatile marketplace” and financial difficulties have “accelerated our need to act to protect our long-term future”.

The company has faced financial struggles since the Government introduced community pharmacy funding cuts in 2016, and has closed or sold over 200 stores in the last few years.

Mr Anderson said that on July 20 the company will begin a formal consultation on a number of proposed changes he claimed would “mean that we are better prepared to meet the needs of our customers and patients for years to come”.

He said that “in some areas of our business” the company was proposing to “redesign parts of our organisational structure, which regrettably means that some roles may be placed at risk of redundancy”.

Employee representatives to be appointed

Mr Anderson said staff would shortly be hearing from local leadership teams “explaining what this means for your and your area of the business” and that they would be able to share their concerns and questions during the consultation period. Employee representatives will soon be appointed for each area of the business. 

The company is also looking at “standardising employee terms and conditions across our business” through an initiative called ‘Programme Connect’, which Mr Anderson said would “make things fairer and more consistent for everyone”.

These proposed changes follow cutbacks made earlier in the year, such as freezing recruitment of non-clinical roles, restricting travel and pausing all pay increases.

Mr Anderson said: “I understand that change can be unsettling, so we will be putting your wellbeing at the heart of our communication activity.” The company will be posting regular updates and sharing advice and resources on its intranet system, he added.

Staff who are currently on furlough will soon hear from the company on what the restructuring process could mean for them, he said.

Mr Anderson said that as well as the proposed restructuring and efficiency savings, the company plans to keep investing in the business – “for example, we are rolling out new technology through our ERP programme and launching a new retail dispensing system”.

“Most importantly, we are evolving our culture to help make sure McKesson is a better place to work for all of our colleagues.”

'We need to remain competitive'

A spokesperson for the company told PNN: "The increased costs we face, alongside a reduction in income, mean that we need to respond in order to remain competitive. We are making some changes so that we have a sustainable business that helps our front-line colleagues in delivering integrated healthcare services to our customers and patients.

"Our business has evolved through the years by acquiring other companies which has led to some contractural differences amongst our colleagues.  We want to make things fairer and more equitable across our company so we’ll be standardising our employee terms and conditions through a collective consultation. Our commitment is to support everyone impacted by these changes through regular two-way communication."

More details on the proposed changes are expected to emerge in the coming days.

Record my learning outcomes

Latest

Inspiring stories related to health, fitness and the pursuit of wellbeing

Share:

More like this

bookmark_icon_off
Latest

Boots opens flu jab bookings as demand soars

Boots says it has opened bookings for its winter flu jab service amid reports of soaring demand. 

1 Min Article

bookmark_icon_off
Latest

Lloyds pulls nasal spray over 'bold' Covid claims

LloydsPharmacy has "paused" sales of a £15 nasal spray that claims to neutralise the coronavirus before it can make people ill.

1 Min Article

bookmark_icon_off
Latest

Locate a Locum Learning launched

Locate Learning launches today, increasing members access to extensive learning library.

1 Min Article

bookmark_icon_off
Latest

Drug companies fined £260m for "excessive and unfair" price hikes to hydrocortisone tablets over a 10 year period.

1 Min Article

bookmark_icon_off
Latest

E-cig loophole puts minors at risk, Government told

A charity criticises the government for failing to close a loophole allowing companies to hand out free e-cigarettes to under-18s. 

1 Min Article

bookmark_icon_off
Latest

Two Solihull pharmacists jailed for illegal supply of POMs

Dean Dookhan and Narvinder Nandra pleaded guilty to two charges concerning the illegal supply of 21,000 Zolpidem pills.

1 Min Article

Recommended Learning

Sponsored education

Treating fungal nail infections

Understand how fungal nail infections develop and help manage customer expectations around treatment

10 Min Module

bookmark icon off
Sponsored education

Confident pet health conversations

Learn 3 key steps to having more confident conversations with customers about pet health products.

3 Min Module

bookmark icon off
Sponsored education

Supporting daily digestive health

Learn about the crucial role of gut bacteria and how a healthy microbiome can support daily digestive health

2 Min Module

bookmark icon off
Sponsored education

Advising on stimulant laxatives

Safely recommend the most effective laxative for every customer with constipation

15 Min Module

bookmark icon off
Bayer Business Programme

Make it Count: Manager version

This training offers new insights into the customers of today and explores how you and your team can adapt your sales approach to engage with customers in order to grow your business.

15 Min Module

Sponsored education

Dry eye consultations

Work through a customer consultation to determine the possible cause of stinging, gritty eyes and recommend an effective treatment to help ease these symptoms.

15 Min Module