London Daily

Focus on the big picture.
Thursday, Oct 22, 2026

Covid staff shortages will continue into New Year

Covid staff shortages will continue into New Year

Staff shortages continue to blight retailers and hospitality firms, with one warning of closures if Covid absences worsen.

David Josephs, boss of food importer and retailer All Greens, told the BBC he could be forced to temporarily shut outlets and redeploy remaining staff.

The chief executive of pub group Fullers said things are improving but hundreds of staff are still off work.

Some firms saw 50% of staff off pre-Christmas, one employers' group said.

It comes as ministers consider how the public sector handles mass absences.

The government has asked public sector managers to test their contingency plans against a worst-case scenario of 25% staff absence, as part of efforts to minimise disruption from surging infections from the Omicron variant of Covid.

Ministers are due to review Plan B restrictions on Wednesday, although Education Secretary Nadhim Zahawi said on Monday "there's nothing in the data" to suggest further coronavirus measures will be needed later this week.

Mr Josephs, which sells fruit and vegetables to businesses such as restaurants, said that before Christmas he had about 15% of his workforce isolating or sick. "We have had to re-deploy staff from stores into other stores to keep them moving," he said.


No stores have yet had to close, but "it's possible that we would have to" if absences rise, he added.

He said his industry had ramped up testing, but Mr Josephs was "not convinced it's the answer.

"A lot of staff in the sector do not get paid sick pay - ours do - and therefore when they receive positive tests they ignore them.

"Throughout the jobs market - not just in our sector - a large minority or staff on limited contracts or minimum wage cannot afford to be off work and just ignore [positive tests]".

Sick pay


Meanwhile, Simon Emeny, chief executive of Fullers, told the BBC sickness levels among staff have improved in the past week.

The company has 420 pubs and hotels across the country, but is focused on London, where rates of Covid infections had been particularly high.

Before Christmas he had about 450 of his 4,000 staff off ill or isolating. "That's now down to about 250. So things are improving," he said.

Around 20 Fullers sites in the capital have been closed temporarily before Christmas because of falling sales, which he blamed on England's policy of work from home if possible.

Sales at the group are "significantly down" on what it expected at typically the busiest time of the year for the hospitality sector.

On working from home, Mr Emeny said: "I would urge the prime minister to review that this week, as it does appear that London is coming through this Omicron crisis."

Mathew Fell, chief policy director at the CBI employers' group, said: "This is clearly set to be one of the issues facing businesses at the start of this New Year. We were hearing just before the Christmas break retailers telling us that Covid-related absences were up about 50% in a week."

He said it was important the government resolves supply problems with Covid testing kits: "Testing is really key for confidence and making sure we have that as ingrained behaviour."

Covid absence could not come at a worse time for firms, he said, because they were already suffering skills and labour shortages.

However, Frances O'Grady, general secretary of the TUC, told the BBC some firms were flouting Covid health and safety rules, and it was time for the government to get tough with these employers.

She added: "The government still hasn't fixed sick pay to ensure that we don't spread the virus. Those staff who are sick should taking proper time off sick, but [sick pay] is only £96 a week."

Despite the high number of absences, Mr Josephs said some staff were still ignoring positive tests because they could not afford time off.

He said: "We know that in our sector a lot of staff do not get paid sick pay. Ours do - but staff who are on limited contracts or on minimum wage cannot afford to be off work."

Ministers have been tasked with developing "robust contingency plans" for workplace absences, as the government warned rising cases could see up to a quarter of staff off work.

Public sector leaders have been asked to prepare for "worst case scenarios" of 10%, 20% and 25% absence rates, the Cabinet Office said.

The UK has seen record numbers of daily cases over the festive period. Transport, the NHS and schools have already seen the effect of absences.

Newsletter

Related Articles

0:00
0:00
Close
Department for Science, Innovation and Technology Commits Fifty Million Pounds to Establish Regional Artificial Intelligence Innovation Clusters
Ofgem Directs Major Energy Suppliers to Expand Vulnerable Household Support Funds Ahead of Winter Heating Season
Home Office and National Police Chiefs Council Unveil New Intelligence-Led Strategy to Tackle Organised Immigration Crime Networks
First Minister John Swinney Secures Scottish Parliament Approval for Comprehensive Climate and Green Energy Infrastructure Strategy
National Health Service England and Trades Union Congress Finalize Agreement on Emergency Winter Staffing and Pay Frameworks
HM Treasury and Department for Business and Trade Announce Multi-Billion-Pound Sovereign Investment Pact to Spur Regional Advanced Manufacturing
Bank of England Governor Andrew Bailey Signals Potential for Faster Interest Rate Cuts as Domestic Inflation Pressures Ease Below Forecasts
Parliamentary Inquiry Highlights Urgent Need to Address Housing Shortage as Scottish Completions Hit Eleven-Year Low
United Kingdom and Singapore Sign Comprehensive Financial Agreement to Deepen Digital and Sustainable Market Ties
Greggs Announces Plan to Close Four Manufacturing Facilities and Cut Seven Hundred and Forty Jobs
International Monetary Fund Raises United Kingdom Economic Growth Forecast While Warning of Inflationary Pressures
Energy Security and Net Zero Committee Urges Government to Shift Policy Costs Onto Gas to Lower Household Bills
Housebuilding Across Scotland Plummets to Eleven-Year Low Despite Government Pledges to Tackle National Housing Emergency
Greggs Announces Factory Closures Across Northern England and Scotland Affecting Seven Hundred Forty Jobs
United Kingdom and Singapore Conclude Eleventh Financial Dialogue in Singapore to Deepen Cooperation on Digital Finance and Capital Markets
Energy Security and Net Zero Committee Urges Government to Shift Policy Costs to Gas Bills and Tap Windfall Profits to Lower Consumer Prices
British Broadcasting Corporation Announces Major Cost-Cutting Overhaul to Close Linear Broadcast Services for Television Channels BBC Three and BBC Scotland Alongside Digital Radio Station BBC Radio Four Extra
London Capital Markets Face Renewed Scrutiny After High-Profile Offerings Underperform Post-Listing
Green Party Wins Historic First Westminster Parliamentary By-Election in Gorton and Denton
Environment Secretary Emma Reynolds Unveils Sweeping Regulatory Overhaul for English Water Industry
United Kingdom Health Security Agency Confirms Thirty-Four Cases in Kent Meningitis Outbreak
Ministry of Defence Prepares Heat Pump Subsidy Cuts to Fund Urgent Military Modernization
British and European Union Officials Schedule Long-Awaited Bilateral Leaders Summit for November Twentieth
Bank of England Governor Andrew Bailey Urges Strict Fiscal Credibility to Protect British Bond Markets
United Kingdom Inflation Rises to Three Point One Percent Driven by Escalating Fuel Costs
Profit Warnings Among London-Listed Companies Reach Two-Year High Amid Global Energy Shocks
Chancellor John Healey Signals Targeted Tax Changes on Banks and London Corporate Offices Ahead of Budget
British Government Reallocates Twenty-Five Per Cent of International Climate Finance to Global Biodiversity Projects
Initial British Carbon Border Taxes Set to Undercut Parallel European Union Tariffs on Industrial Imports
Whitehall Prepares National Zero-Interest Loan Initiative to Accelerate Domestic Heat Pump and Solar Adoption
European Union Offers British Automakers Access to Hybrid Vehicle Trade Protections Subject to Strict Regulatory Alignment
British Probation Officers Threaten Widespread Industrial Action After Rejecting Five Per Cent Government Pay Offer
Microsoft Abandons Major British Artificial Intelligence Data Centre Citing Severe National Grid Power Constraints
United Kingdom Inflation Accelerates to Three Point Four Per Cent Ahead of Chancellor John Healey's Inaugural Autumn Budget
Surging Cloned Number Plates Severely Complicate Traffic Enforcement and Police Investigations
Mounting Opposition Challenges Planned Rollout of Autonomous Taxis Across London
Influential Think Tank Urges Rejoining European Union to Navigate Geopolitical Crises
Government Review Recommends Slashing Benefits to Fund Youth Employment Initiatives
Senior Minister Shabana Mahmood Seeks New Law Enforcement Pact With European Union
Airbus Executive Warns Britain Risks Losing Crucial Role in European Space Industry
Exorbitant Electricity Costs Push British Steelmakers to Worst Competitive Position in Three Years
British Food and Beverage Exports to European Union Collapse by Over a Third Since Brexit
Up to Twenty English Maternity Units Face Impending Closure Due to Safety and Staffing Crises
Government Declares Severe Drought Across Southern England Following Record Dry Spell
Corporate Profit Warnings Reach Two-Year High Amid Middle East Conflict and Rising Costs
International Monetary Fund Warns Chancellor John Healey Against Proposed Bank Tax Raid
Northern Ireland Secures Favorable Agricultural Export Agreement with European Union
Scottish Government Approves Major Offshore Floating Wind Farm Near Aberdeenshire
High Speed Two Rail Project Faces Three Billion Pound Cost Escalation on Initial Phase
National Health Service Warns of Winter Capacity Crisis Across English Hospitals
×