Jobs fear for shop workers

STAFF at the Original Shoe Company in Spindles Town Square Shopping Centre were today unsure about their futures after owners JJB Sports announced that administrators would be appointed to the group’s Lifestyle Division.

A total of 800 jobs are in doubt following the decision, which affects fashion and footwear retailer OSC, that operates 64 stores, and Qube, a footwear chain with 13 stores.

A JJB spokeswoman said the two chains employ 270 full-time staff and 530 part-time employees.

The retailer has been reviewing its options for the lifestyle division for some months. The two chains continued to trade at a substantial loss, added a statement.

JJB warned last month that losses could reach £10 million for the year as the sports retailer group struggles in extremely difficult trading conditions.

The lifestyle division caused the damage with an estimated £15 million loss in the year to January 25.

KPMG has been lined up as administrator to the two chains. An initial approach for the division did not lead to a deal, but management remain hopeful of a potential sale.

JJB also confirmed a number of potential bidders had expressed interest in its chain of fitness clubs, Oldham has one at the Centre Retail Park at Elk Mill, which have continued to deliver strong sales growth amid testing conditions at the rest of the retail business.

The fitness club division, which operates from more than 50 sites, is said to have attracted interest from potential buyers including JJB founder Dave Whelan, who sold his stake in JJB in 2007.