Woolworths combines Australian units
RETAILER Woolworths on Friday announced a major restructuring of its Australian business which will see its up-market department store David Jones and fashion brands under the Country Road combined into a single unit. The company said the restructuring would increase its labour force by nearly 200.
The group previously announced its intent to relocate both the existing David Jones and Country Road Group head offices to a single campus based in Melbourne. It said the new structure will not result in any job losses but would increase the workforce by nearly 200.
The new structure will be headed by David Jones’ John Dixon as chief executive.
Woolworths chief executive Ian Moir said the restructuring would benefit the retailer with group functions whilst maintaining the independence of its key brands within the Australian group.
Moir said the creation of the single regional structure was a logical next step for the group’s business.
“It enables the benefits and synergies of the Australian acquisitions to be fully realised and allows the creation of a single team and culture focussed on our Australian customers and driving improved shareholders returns for the WHL Group,” Moir said.
Woolworths said besides Dixon, Country Road chief executive Scott Fyfe and Ashley Gardner would join the regional executive.
The company said as part of the transition to the new structure, a new expanded role, head of human resources, WHL Australasia with responsibility for human resources across the Australasian business has been created and a search is currently under way to fill this role. It said Country Road chief operating officer Sacha Laing will leave the business with immediate effect.
Moir said that Dixon has the right combination of large scale retail management experience to lead the Australasian team and looks forward to his further contribution as both the food and clothing businesses entering into the next phase of their development.
Dixon said over the past 14 months he had been impressed by both the creative talent and technical expertise in the Australasian businesses.
Woolworths shares dropped 0.3 percent on the JSE on Friday to close at R73.53.