Fashion retail giant H&M has announced the closure of its Edinburgh call centre by the end of this year, affecting 150 jobs at its Waverley Gate office location.

The Swedish retailer informed workers in August about proposals to shut the facility, which will cease operations from 14 December ahead of its final closure in March 2025 when the building's lease expires.

Staff were given two weeks' notice of their dismissal, according to documents seen by BBC Scotland News, though those entitled to longer notice periods will receive payment in lieu.

A spokesperson for H&M explained the rationale behind the closure: "We constantly evaluate how we operate to ensure that we deliver on our goals and contribute to the overall success of the company.

“Having looked into the scope of our customer service set-up, increased competition in the market, our customers changing behaviours and expectations and operational costs, we have made the difficult decision to proceed with the proposed closure of our customer service site in Edinburgh by the end of the year."

The company conducted consultations with employees between September and November, with some impact on job losses mitigated through alternative role offerings, voluntary departures, and staff finding employment elsewhere.

The closure has drawn attention from Scottish government officials, with deputy first minister Kate Forbes previously engaging with senior management to explore alternatives to redundancies.

A Scottish government spokesman addressed the situation: "This is a concerning time for employees and their families. The Scottish government has engaged with H&M in an attempt to mitigate the impact of the closure and our Partnership Action for Continuing Employment service is already working with staff."

The decision follows H&M's broader restructuring efforts, which included the closure of 250 stores globally in the wake of the Covid-19 pandemic, as more customers shifted to online shopping.

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