John Lewis to join Primark in rejecting government jobs retention bonus
![](https://www.cityam.com/wp-content/uploads/2019/11/GettyImages-1032690940.jpg?w=742)
Department store chain John Lewis is expected to join Primark in rejecting the government’s offer of a job retention bonus.
The chancellor last week announced that firms could claim a £1,000 bonus for each worker they bring back from furlough and continue to employ until at least January.
John Lewis, which last week announced the permanent closure of eight stores and up to 1,300 potential job losses, is not expected to accept the grant, City A.M. understands.
The high street giant is in the process of opening the rest of its department stores after they were forced to close when the coronavirus lockdown was announced in March.
Budget fashion chain Primark announced last night that it will not claim the jobs retention bonus, worth around £30,000, as its furloughed employees returned to work.
Primark closed all of its stores in March when the Covid-19 outbreak in Europe intensified, costing it about £650m in net sales a month.
“I can confirm that Primark does not intend to take advantage of support under the Job Retention Bonus announced by the Chancellor this week,” a spokeswoman said on Sunday.
“The company removed its employees from government employment support schemes in the UK and Europe in line with the reopening of the majority of its stores. The company believes it should not be necessary therefore to apply for payment under the Bonus scheme on current circumstances.”
The bonus scheme, which was announced by chancellor Rishi Sunak on Wednesday, could cost up to £90bn if companies bring back all 9m people that have been furloughed due to the coronavirus pandemic.