The Sunday Telegraph reported that the advisory firm had been assigned to draw up a turnaround plan which could result in a number of job cuts. The department store chain recently axed 90 jobs and was considering the redundancy of 200 head office staff in a bid to cut costs. The retailer has also issued three profit warnings this year and in April, its profits plunged by 84%.
The company has also identified up to 30 outlets which could be resized and is under negotiations with landlords. Debenhams is one of the UK’s oldest department stores, employs over 20,000 people and has 270 stores.
KPMG refused to comment and Debenhams have been approached by Retail Sector.