Alliance Boots has said it will be cutting around 900 non-store jobs as part of a programme to create a "leaner central support organisation" for its Health & Beauty Division.
The programme will be implemented over the next three years, with most of the job cuts being made at the group's Nottingham office. The 900 jobs to be cut represent around 10 per cent of Alliance Boots non-store workforce in the United Kingdom.
Alliance Boots said that where possible staff would be cut through natural turnover and by offering redeployment to other areas in the group.
It is estimated that around £56 million per year will be saved by 2013/14 as a result of the cuts. The cost of the cuts is expected to be a one off cost of £67 million.
Alex Gourlay, Chief Executive of the Health & Beauty Division at Alliance Boots, said, "Since 2007 we have undertaken a number of steps to make our business more robust, investing significantly in our stores and commercial offering. This latest phase will enable us to have a stronger and more agile support infrastructure fit for the long-term future.
"Our intention is to be open and transparent about how we see the future, but we understand the impact that today's announcement may have on our people. The leadership team is fully committed to supporting them in the months ahead as we further evolve our organisation."