Boots orders employees to return to office five days a week

The decision removes the previous requirement that head office employees work in the office at least three days a week

Boots has ordered thousands Employees will returning to the office five days a week as bosses prepare the retailer for a potential stock market flotation.

Seb James, managing director of Boots UK, sent letters to staff earlier this week informing them of the crackdown on home working as he vowed to make the business «more efficient».

>The changes will affect staff at London head offices. Nottingham and Weybridge, marking the end of Boots' previous policy of encouraging staff to attend the office three days a week.

It comes as Boots prepares to return to the London Stock Exchange after 17 years of private ownership, potentially reaching a £7 billion valuation that would catapult the business back into the FTSE100.

Tim Wentworth, CEO of Boots' US parent company, Walgreens Boots Alliance, said in January: «Everything is planned to deliver greater shareholder value.»

Announcing the new policy, which will come into effect in September, Mr. James said: “I've been really encouraged by how people have embraced the three-day-a-week work model and I think you'll agree that the office is a much more fun and inspiring place to be these days.

“I have no doubt that informal conversations, short meetings and the opportunity to meet face-to-face in groups were much more effective and useful. for Boots culture than the forced formality of remote meetings. I know that was true for me.»

The company's UK managing director Seb James said Boots would set up its offices for their employees by including more quiet spaces and better Wi-Fi. Photo: Hannah Mackay/Reuters

Boots employs around 8,000 people at its Nottingham headquarters, around 15% of its 52,000 workforce. strong UK workforce.

Mr James said that in a bid to ease tensions with staff, the company would be upgrading its offices in the coming months.

This will include creating a quieter space, improved Wi-Fi and improved nutrition for Boots employees.

Boots sales have rebounded sharply from a slump during the pandemic, with the retailer earlier this year saying its market share had risen for the 11th consecutive quarter in the three months to November.

Potential A return to the stock market would provide a major boost Square Mile, which has come under pressure following the departure of high-profile companies.

Walgreens previously attempted to sell Boots for £5 billion but abandoned the process in 2022 after “unexpected and dramatic changes” in financial markets.

To cut costs, the retailer recently pledged to close around 300 stores by June, reducing its total across the UK to 1,900.

Cutting operations alongside Walgreens ' decision to transfer the Boots pension scheme to Legal & General for £4.8bn in November fueled speculation that the retailer was preparing to float.

Jonathan De Mello, retail consultant and founder of JDM Retail, said: «Creating a cheaper and more streamlined business ahead of an IPO or sale is certainly the right thing to do, but Boots must not forget to invest in its stores.» < /p>< p>Boots' home working policy is the latest example of companies returning to the office after the pandemic, with a recent shift in attitudes across a number of sectors.

Deutsche Bank, which employs about 6,000 people in London, announced last month that managers will be required to be in the office at least four days a week, and junior staff will be required to spend at least two-thirds of their time in the office. time.

HS2 contractor Laing O'Rourke last month also ordered staff to return to their jobs, complaining that its offices were «too often sparsely populated.»

An internal memo said: «Communication between our businesses is falling . Combined with challenging 2023 financials, the way we go to work needs to change.»

Meanwhile, executives at accounting firm EY began tracking data on how often their employees break into buildings to report absenteeism. office.

A Boots spokesman said: “We are asking team members to make the office their normal place of work from 1 September.”

“We really value the team spirit that comes from being together in person . Of course, there will be times when working from home will be necessary for personal or business reasons.”

Recommended

Pushing chemists into war due to «heartlessness»; pension changes Read more