M&S sells up

Marks and Spencer has reached agreement to sell its 18 stores in France to the French retail group Galeries Lafayette.

However, in contrast to its initial decision to close its European operations, when it was condemned for failing to consult its workers, this time the company has made it clear that the sale is subject to their agreement. The central works council in France was due to decide on the offer as Labour Research went to press.

All Marks and Spencer's 1,600 French employees are promised an offer of employment but this may involve a 10-mile transfer. Alternatively they can take redundancy under a social plan that has still to be negotiated. Staff are concerned as pay at Galeries Lafayette is lower than Marks and Spencer.

At the same time the company announced that its four Belgian stores had not found a buyer and the staff would be made redundant. There is still no final

decision on its other continental operations including the nine stores in Spain.