One-in-eight Purplebricks staff ‘to lose jobs this week’

Purplebricks is set to cut 10 per cent of its staff within hours according to The Times.

The company is reportedly laying off more than 100 of its 800 staff in a cost-cutting move before Christmas.

The cost-cutting measures comes hot on the heels of the senior management at the troubled agency fighting off activist investor Lecram Holdings, which on Monday called for the removal of chairman Paul Pinder and his replacement by Rightmove and Countrywide founder Harry Hill.

Lecram lost with with 71 per cent of shareholders voting to keep Pindar; meanwhile 42 per cent of shareholders voted to appoint Hill as a director, although 58 per cent voted against this.

The results rattled chief executive Helena Marston who then hinted at redundancies in a statement after the vote. 

“The directors will continue to engage with shareholders to ensure there is full alignment on the strategy, objectives and most importantly its delivery and, as required under the QCA Corporate Governance Code, will explain any different action it will take as a result of the vote at its full year results.”

While the job losses are being reported to be in motion, Lecram Holdings has issued a new statement, saying: “Nearly 30 per cent of shareholders that voted, and a majority of independent shareholders not represented on the board, have supported our motion to remove Paul Pindar as chairman. 

“We note the company has recognised the level of feeling among investors and it should draw the appropriate conclusion. 

“There is also considerable support for bringing Harry Hill, who is both experienced in the sector and independent, onto the board.”