Asda has today announced it will cut up to 1,360 jobs following an “intense consultation period” as it attempts to cater for new shopping habits.
The UK’s second largest retailer said the final outcome of the management restructure plan will create 5,670 roles, as it moves to emphasise e-commerce, puts more staff on shop floors and removes back office administration tasks.
But those who chose to leave after their roles were removed, or who did not meet the selection criteria, will take a redundancy package over the coming weeks.
“As much as it is my job, and privilege, to be CEO of this business and to do what is right for Asda as a whole, this is one of the most difficult decisions I’ve had to make,” said Andy Clarke, Asda chief executive. “While I genuinely believe that it is the right decision for the future of Asda, knowing that it will result in valued colleagues leaving us is not easy.”
Clarke said every supermarket must adapt to the intense changes in UK retailing or they will get left behind.
He first publicly outlined a proposal to restructure store management in May of this year, and the 4,100 staff directly affected entered a formal 45-day consultation period.
During the consultation, managers affected by the proposal were involved in influencing the final version that was considered by its executive team yesterday.
Asda said that all staff members affected had at least three individual discussions about the proposal and the roles potentially available to them. Each executive team member also visited stores to meet affected colleagues and listen to their views.
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