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PJ Online homeThe Pharmaceutical Journal
Vol 272 No 7283 p77
24 January 2004

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Boots focuses on pharmacies as 900 office jobs go

Boots is to open many stores for longer hours and some additionally on Sundays

Boots The Chemists is to appoint more pharmacy development managers and extend opening hours at some branches as part of a reorganisation that resulted in around 900 head office jobs being axed last week (PJ, 17 January, p46).

Digby Emson, currently superintendent pharmacist at Boots, has been appointed director of professional services. Mr Emson outlined the new pharmacy structure to The Journal last week.

Boots is to reduce its seven regions to four from April. Within these regions, branches will be in 30 areas and 250 groups. To support these professionally, new regional, area and group pharmacy manager posts will be created. These will replace seven existing regional professional development posts. The aim is to devolve power from the head office and allow greater local decision making. “We have to be more flexible locally,” Mr Emson said. “This is a major challenge for a large listed company.”

At the same time, Boots is to have more of its stores open for longer. About 80 will open on Sundays and some pharmacies, such as those at airports, will open 24 hours a day. Other branches will bring their opening hours into line with local GP surgeries. Mr Emson said that longer opening hours would require more pharmacist-hours to be worked and investment would be made in this.

Savings to pay for this are being made by cutting staff at the company’s Nottingham headquarters. As expected, Boots announced on 15 January that around 900 management posts are to be cut. Staff were told where the job losses would fall through briefings from senior management followed by smaller meetings during the day. Voluntary redundancy terms, greater than those normally available, have been offered and staff with over 15 years’ service are eligible for up to 60 weeks’ pay. An additional 290 posts have been created in the support service for branches.

On 16 January, Boots announced that it “had had a good Christmas”. Overall sales were up 5.4 per cent for the three months to 31 December 2003, 4.1 per cent on a like-for-like basis. Sales in health were up 7 per cent and dispensing was said to have seen strong growth.

The announcements were well received in the City where the Boots Co share price rose by 7 per cent to 705p, making the company the best performer in the FTSE100 index on 16 January.

Appointments, p83

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