Fashion retailer Hobbs is restructuring following a business review designed to put it back on track following tough trading that led to backer 3i writing down its value.
Hobbs also intends to expand its business in the US after the success of concessions in Bloomingdale’s stores.
Hobbs chairman Phil Wrigley said the review took in all aspects of the business including brand, ranges and operations and a subsequent reorganisation would better reflect customer needs.
Some roles at Hobbs - including at a senior level - are “at risk” and a consultation has begun with those affected. The total number affected, however, is 16 out of a central staff of 150.
Wrigley said: “At this point it does not include any of the executive directors but it does include a number at the level below.
“There will be an impact on marketing and design, and a small effect on buying and support functions.”
Wrigley said the planned changes were “underscored by the fact that the business has had challenges” and that “the impact of those will persist into this year”.
However, he was confident that the overhaul would make Hobbs’ more agile business more attuned to customer needs.
Wrigley said the Bloomingdale’s concessions, including in locations such as New York’s 59th Street and the King of Prussia Mall, had performed well and the intention is to open five more next spring.
“I couldn’t be more excited,” he said. “The additional five we will take to places like Chicago and Florida.
“90% of what we sell well in the US are UK bestsellers – that’s an extraordinarily high hit rate.”
Hobbs may also consider opening its own stores in the US and is close to appointing a US retail director.
Earlier this year 3i wrote down the value of its investment in Hobbs by 40% after a difficult Christmas.
In July the retailer named Meg Lustman as its new chief executive. She succeeded Nicky Dulieu, who stepped down in the spring after five years in the role.