Administrators have cut 450 jobs at Woolworths in order to try and keep the business running. These layoffs have been in support operations at the store at Marylebone Road in London, and the branch in Castleton, Rochdale.

The company, which employs over 25,000 people in its shops alone, and up to 5,000 others in related businesses, have not yet had to cut jobs in the shops themselves, or in their distribution centres, though this is expected after the Christmas period is over.

Since its collapse last month, administrators have launched Woolworths ‘biggest ever sale’, which some have criticised as looking more like a closing down sale, but administrators are claiming it was ‘ongoing’.

Prices are currently reduced throughout the store, with toys and greeting cards offering up to 50% discount in order to try to encourage shoppers into the store, and move stock before Christmas.

Administrators are saying that the shop will remain open until after Christmas. Neville Kahn of Deloitte said: “there is continuing interest in the core Woolworths business and the sale will continue whilst potential buyers finalise their plans for the purchase of the business.”  He added that extra staff had been hired in order to deal with the demand.

Nick Bubb, an analyst with stockbrokers from Pali International, has claimed that the company is trying to “get rid of unsold stock and empty shops…It looks a bit like a closing down sale.”

The famous high street store went into administration just over a week ago, on 26th November. Deloitte have taken over and are said to be in talks with numerous different companies that are interested in Woolworths assets.

However, just last Thursday, famous Dragon’s Den entrepreneur Theo Paphitis, pulled out of buying a share in the chain of stores.

It is still believed that supermarket chains, such as Tesco, Asda, Sainsbury’s, Co-op and Poundland are all interested in investing in some of Woolworths main stores.

The recent credit crunch has had an effect on lots of high street stores. Some other stores are trying to entice customers back into shops by sales before Christmas.

Debenhams, and Dorothy Perkins for example, have held a three-day 20% -off sale events that are soon to end.

Also Marks and Spencer has offered two sales in the last month, in what it claims to be an attempt to give shoppers “a helping hand in the run-up to Christmas.”