The administrator of HMV has made 190 redundancies at head office but says it remains hopeful of securing “a future for the restructured business”.
Deloitte thanked suppliers for their support since the company went into administration earlier this month, adding that customer support had also been strong. Nick Edwards, joint administrator said: “We have been very pleased with the level of interest in the business as a going concern, whilst the response from customers has demonstrated the demand to see HMV remain on the high street.
"Equally, the support received from suppliers has been very positive and has enabled us to continue trading during the administration. As a result of all of these factors, I remain hopeful we will be able to secure a future for a restructured business.”
Before news of the redundancies was officially announced by the administrators, staff hijacked the official HMV account and issued a series of tweets, under the hashtag #hmvXFactorFiring, which have now been deleted. One said: “There are over 60 of us being fired at once! Mass execution of loyal employees who love the brand”. Another said: “Just overheard our Marketing Director (he’s staying folks) ask ‘How do I shut down Twitter?’”
Publishing industry professionals concerned about HMV as an important bookseller of music, pop and culture titles have expressed skepticism about future trade following news of the redundancies. Scott Pack, publisher at The Friday Project tweeted: “If bulk of head office and warehouse staff being dumped by HMV then whatever plans they have do not involve central buying and distribution.”
Deloitte added: “Since our appointment as administrators over two weeks ago, we have been assessing the financial position of HMV. Following this review, a number of redundancies at the head office and distribution centres have been made. Although such decisions are always difficult, it is a necessary step in restructuring the business to enhance the prospects of securing its future as a going concern.”