Job losses at Belvoir with more to follow – and franchisees urged to conduct ‘aggressive’ review of costs

Fifteen jobs have been lost at Belvoir’s head office this week, with some more to follow.

In addition, the franchising group has urged all of its business owners to conduct an “aggressive” review of their cost base.

Last night Belvoir CEO Dorian Gonsalves told EYE: “Centrally, as a franchisor, we directly employ at any given time between 120 and 150 people. This includes employees within our franchise support team, general administration and finance, legal administration, HR, mortgage advisers, and direct lettings and estate agency by means of centrally owned high street offices.

“As a network, there are over 2,000 people employed by the franchisor or employed by franchisees.

“On Monday of this week I reviewed all roles that have been created within the last two years and, as a result, sadly, I terminated 11 employment contracts within our central office team and four further contracts within Northwood and Newton Fallowell .

“A full review of roles across our subsidiaries is ongoing and I expect that a further modest reduction in staff numbers will follow in the coming weeks.

“I will attempt to re-employ some or all of these people dependent on the length and depth of this downturn. All staff who fall into a high risk category have already been given the ability to work from home.

“I have also written to franchisees across all brands and recommended they do the same alongside an aggressive review of their cost base.”

Gonsalves added: “Franchising is a robust business model with a highly motivated, determined and committed franchisee at the heart of almost every all our offices.

“It’s a difficult time for all small businesses across our sector and I have asked our franchisees to stay safe and healthy during these unprecedented and unexpected events.”

Homesearch EOS
x

Email the story to a friend



17 Comments

  1. whatdoiknow58

    Crikey this guy is all heart isn’t he.

    Report
    1. Eyereaderturnedposter12

      He’s all “share price”…

      Having said that, the current storm is one that will have many casualties…and we will all be touched by its consequences.

       

      Report
  2. Interested in Property

    i do not see Gonsalves saying they will reduce the MSF/Royalty for the franchisees….no lets not do that instead we will tell the franchisees to pay people off so they can afford our MSF/Royalty payment. Definitely he is all heart…NOT!!!

    Mike Goddard must be smiling in his scottish castle at his young protegee – a mini me comes to mind.

    Report
  3. Kingy

    https://www.thisismoney.co.uk/money/investing/article-7981875/MIDAS-SHARE-TIPS-UPDATE-Lettings-group-Belvoir-keys-success.html 
    I am encouraged to feel “as if they were running their own small companies, so they tend to be both motivated and ambitious”, so naturally I too will be swinging the salary axe to pay MSF instead.  We must protect the uninterrupted annual growth record & dividend at all costs.
     
    Management in lieu of leadership.

    Report
  4. DarrelKwong43

    what a compassionate man you are Dorian !!

    #staysafe #thinkofothers

    Report
  5. Eyereaderturnedposter12

    He’s all “share price”…

    Having said that, the current storm is one that will have many casualties…and we will all be touched by its consequences.

     

    Report
  6. JimCricket

    There is a groundswell of franchisees who are saying that they cannot make their royalty payments. The franchisor’s heartfelt response is to throw around the breach of contract phrase. Pleasant.

    Report
    1. Kingy

      “The peasants are revolting”

      Report
      1. TipsyKoi1966

        Not the best analogy Adam and this is so serious I need food. Popcorn ready 😉

        Report
  7. Property_Tycoon

    Such a big-hearted man, Advice to owners, Sack your knowledgeable loyal staff now and in 6 months have no-one to help with the recovery.

    He’s only bothered about today’s performance for shareholders, to keep his job tomorrow, absolutely ZERO long term business strategy. They’ll go on about growth and acquisitions, but it isn’t their cash, individuals have mortgaged themselves to the hilt for the pleasure of paying 10% of GROSS, not Net income.

    Since the takeover, NO real marketing, NO real Legal Support. Everyone moved to the acquisitions team.

    We need shareholders to start asking questions about his long term strategy to ensure the business has a future, or go speak to the owners in branch, they won’t speak up publically, due to fear of repercussions. Was such a great family business, now we just want your money.

    Everyone asking for advice and support with the current situation, nothing coming back. Disgusting

    Report
    1. TipsyKoi1966

      … signed above by Mr Northwood Nasty. Your customers must be shocked to read that you have no legal support or marketing and that you’re about to go belly up

      Report
  8. Popples@3

    How sad that everyone is turning on each other rather than working together within this group. No matter what action or advice is given here, it will not sit right with all. People will lose their jobs, not just in our industry but in many others and that is sad but work is still out there if you want or need it. What is really sad is that many people will lose their lives, our loved ones and maybe even our colleagues. In the above comments, that seems to have been completely forgotten. #bekind…….please.

    Report
    1. Propertywatch

      Without jobs, people have no lives. Those jobs you say are out there, aren’t; it’s all shutting down. This is not the place for niceties when lives are being wrecked.

      Report
      1. Property_Tycoon

        What is a real shame, is that they can now claim 80% of these guys wages, acted in haste. I’m sure tonight’s announcements will be of no comfort to those now unemployed.

        Report
  9. RugbyGirlEA

    A lot of agencies will let people go before Boris’s 12 weeks are up especially if you remember 2008 and they will all have an axe to grind, the least experienced or back officewill go first followed by jobs that can be replaced by tech. It begins all over again. 5 years to recover??? Its a mess

    Report
    1. jonJames43

      As a landlord I can feel all of your pain. Agents have had a tough few years and I am sure that it will be an incredibly difficult year ahead. I have dabbled with a few properties over the years but one thing is certain, the property market always bounces back. It may look very different after this awful situation, but it will come back. Now to Dorian and without stating the obvious this mans job is to protect the Belvoir business through thick and thin. This means that at times he must have to make some very difficult decisions. It must have been incredibly difficult to let so many people go but he is protecting the business and the employees that have been loyal to him over the years. As I said at the beginning , I feel your pain but be strong make changes adapt your business and make some difficult decisions but make sure you make them or you will be too late. There is a quote but I cant remember who by, “Sometimes the hardest thing and the right thing are the same”

      Report
      1. RugbyGirlEA

        Now that I’ve calmed down I can see that it’s wise to save the many and so painful for the few. Niceties will come back in the good times.

        Report
X

You must be logged in to report this comment!

Comments are closed.

Thank you for signing up to our newsletter, we have sent you an email asking you to confirm your subscription. Additionally if you would like to create a free EYE account which allows you to comment on news stories and manage your email subscriptions please enter a password below.