Tesco Expects To Cut Thousands of Counter Jobs in UK
The UK’s largest grocer, Tesco looks to cut about 15,000 fresh food counter jobs in the country. Reports in the British press on Sunday have revealed that Tesco aims to shut down its in-store meat, fish, and delicatessen counters and replace staff canteens with vending machines. Apart from these counters, the grocer was also considering an overhaul of in-store bakeries by using frozen instead of fresh dough in the stores.
Though the decision is still in the finalization process, however, the job cut plans are reported to have been made due to the deep cost-cutting purposes.
In addition to the 15,000 jobs being put at risk, this move could also affect the majority of Tesco’s 732 larger stores in the UK. Since the competition between grocery story intensifies, the supermarket giant has been concerned about its cost-related issues and trying to save around £1.5bn. Various industry sources claim that Tesco started a review of jobs specifically after the tough trading period at Christmas.
Nonetheless, Tesco declined to give any details or further comments on these claims. A spokesperson of Tesco just mentioned:
“We’re always looking at ways to run our business more simply and efficiently.”
He further added:
“Whenever we make changes in our business, colleagues are always the first to know.”
According to BBC that has witnessed an internal company email, the chief operating officer of Tesco, Tony Hogsett said that the plans were “still being finalized”. However, the COO has acknowledged the information leak and media speculation as he expressed in a memo to his employees:
“We are committed to telling our colleagues first of any changes we make as we continue to refresh and simplify the way we serve customers in our stores,”
“These changes are still being finalized, but as a result of this leak and speculation, we will bring forward our communications to give more information as soon as possible.
“We recognize that any changes will be hard for impacted colleagues, and unsettling for everyone. Our priority is to support our colleagues throughout.”
Though, the details about the cuts are expected to be announced this week. One of the Tesco staffs from the main union representing Tesco, Mr.Usdaw has called the media speculations as ‘distressing and unsettling for the employees’. The COO has also acknowledged that ‘any changes’ would majorly affect people but, more detailed information would follow.
Since the current chief executive, Dave Lewis took charge of Tesco in 2014, over 10,000 jobs have been cut at the company.