Stonegate Group is consulting over making 260 roles redundant following a strategic review.
It is part of a plan to re-structure the company’s central functions and operations management teams.
A spokesperson said the strategy would put Stonegate in the “best position us to deliver profitable growth”.
David McDowall, who become Stonegate CEO earlier at the beginning of the year, told MCA in May how an evolved strategy would see the wet-led pub and bar company become “more focussed”.
“I’ve been a little surprised about how much we try to do at one time, here at Stonegate,” he said.
“One key thing we are working hard on is to try and make sure that we are as focused as much as we can be on the things that really add value.”
On the evolution of the group’s strategy, he added: “Given the market environment, the strategy does need to evolve…
“There is no need to rewrite the rulebook, but we do have to react to what’s happening out there in the market, and we have to listen to what the guests are telling us.”
Last week the group reported half year results, with revenues of £904m for the 28 weeks to 9 April 2023 (2022: £827m).
Adjusted EBITDA was £182m (2022: £195m) and operating profit was £139m (2022: £152m) during the period.
Confirming the strategic review and consultation, a spokesperson commented: “Over the last couple of months, we have been undertaking a strategic review of the organisation in order to ensure that we are best able to win in the current environment. This review has resulted in us making the decision to re-structure our central functions and operations management teams.
“Regrettably, this means that we will enter into a consultation process on proposals which may result in up to 260 roles being made redundant. These are difficult decisions to take, and our priority over the coming weeks will be to consult with affected colleagues and to continue to look after their wellbeing. Wherever possible, we will avoid redundancies by finding people alternative roles and will ensure that those colleagues who are made redundant are fully supported by the business.
“The group is confident this strategy will best position us to deliver profitable growth.”
