ASOS will be closing its distribution centre in Lichfield following actions in the business to radically reduce inventory. This will, the business says, reduce its costs by some £20m a year whilst it retains the facility for future use if required or can opt to sell it if it will be of no further use.
Around 700 workers will be affected by the move but these are not direct employees of ASOS.
CEO Jose Antonio Ramos Calamonte commented: “The new commercial model we are running, with 30 per cent less stock than at the beginning of the year, is a formula that runs much lighter in stock and then we don’t need such a big logistics footprint. If we don’t need a facility we simply mothball it.”
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