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Exclusive: Asos ends fixed-term contracts early

Etailer Asos has informed almost all employees on fixed-term contracts that it will be ending their agreements early, as a result of the coronavirus outbreak. 

All Asos staff affected by the decision, which includes head office and other business functions, have been given notice.

Asos is not the first business to make this choice. At the end of last month, Arcadia Group wrote to employees on fixed-term contracts to inform them that it would be ending their agreements early. Elsewhere, Philip Day’s Edinburgh Woollen Mill (EWM) Group made more than 100 redundancies across the business at the end of March.  

Last week Drapers revealed that Asos had paused several incoming deliveries from suppliers and third-party brands as it made adjustments to manage its stock throughout the coronavirus uncertainty.

The etailer is understood to be refusing shipments for spring 20 orders from several third-party brands and suppliers. However, it is continuing to serve its customer deliveries as usual.

Asos declined to comment on the early ending of fixed-term contracts.

Earlier this week, the etailer denied claims from union GMB that its warehouse in Grimethorpe, Barnsley, is unsafe for workers under new coronavirus public health guidelines.  A GMB survey of 500 workers from Asos’ warehouse found that 98% felt unsafe and reported no social distancing measures, a complicated clocking-in system that requires large amounts of people to gather in a small area, and hundreds of workers all breaking for lunch at the same time. 

 

 

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