Partly Cloudy

Partly Cloudy

max temp: 20°C

min temp: 10°C

ESTD 1874 Search

The pigs are coming. Find out more about

Pigs Gone Wild

here.

Retail: Asda to axe 1,360 jobs under management overhaul

17:01 03 July 2014

Asda is to cut 1,360 jobs as part of an overhaul of its store management structure.

Asda is to cut 1,360 jobs as part of an overhaul of its store management structure.

Supermarket chain Asda is to cut 1,360 jobs as part of an overhaul of its store management structure.

The move comes two months after the chain, which has 578 UK stores, warned that 4,100 roles were at risk because of a need to reduce the number of back office jobs in favour of more customer-facing roles.

Asda chief executive Andy Clarke said: “Every supermarket must adapt to the intense changes in UK retailing or they will get left behind.”

The new store structure will create 1,662 section managers and 4,000 section leaders but the redundancies will come from staff who do not meet the selection criteria or choose to leave.

Rival supermarket Morrisons made a similar announcement last month when it said it would axe 2,600 jobs in order to remove layers of management.

The big four supermarkets, including Tesco and Sainsbury’s, are all being squeezed by discounters Aldi and Lidl and Waitrose at the upmarket end.

Asda said the new structure places a greater emphasis on e-commerce, puts more staff on the shop floor and removes back office administration tasks.

Mr Clarke said the restructuring was one of the most difficult decisions he has had to make as chief executive.

He added: “Whilst 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.”

Mr Clarke said Asda first noticed “intense structural changes” in the market two year ago, since when the chain has examined its own set-up and tested scenarios before coming up with the proposals announced today.

Intense competition has dragged price inflation in the supermarket sector to its lowest level for almost eight years, according to Kantar Worldpanel.

The figure fell to 0.8% in the 12 weeks to June 22, according to its latest till-roll figures, which is the lowest level the research group has seen since it began collecting this data in October 2006.

Asda, which is part of US chain Wal-Mart, has shown signs that it is weathering the difficult conditions after Kantar said sales rose by 3.6% in the period, helping its market share lift to 17.1% from 16.9% a year earlier.

0 comments

Welcome , please leave your message below.

Optional - JPG files only
Optional - MP3 files only
Optional - 3GP, AVI, MOV, MPG or WMV files
Comments

Please log in to leave a comment and share your views with other East Anglian Daily Times visitors.

We enable people to post comments with the aim of encouraging open debate.

Only people who register and sign up to our terms and conditions can post comments. These terms and conditions explain our house rules and legal guidelines.

Comments are not edited by East Anglian Daily Times staff prior to publication but may be automatically filtered.

If you have a complaint about a comment please contact us by clicking on the Report This Comment button next to the comment.

Not a member yet?

Register to create your own unique East Anglian Daily Times account for free.

Signing up is free, quick and easy and offers you the chance to add comments, personalise the site with local information picked just for you, and more.

Sign up now

Spending on Eating Out remained robust during April, according to a survey carried out for Greene King.

Britons continued to enjoy eating out during April, according to a new survey, despite reports of growing concern over the strength of the UK economy and the potential impact of a vote to leave the EU in next month’s referendum.

Meeting organised by the Institute of Directors about Suffolks burgeoning film industry. Julien Mery, co-founder of Livid Films and director of Film Suffolk, discussed how the creative community in Suffolk is putting the county on the UK and worlds creative industry map. L-R Sarah Brown, Graham Kill, Julien Mery and Old Jet's Jesse Quin.

A group of executives got to see the creative side of Suffolk’s economy at one of the county’s most popular filmmaking locations.

Oliver Paul, owner of the Suffolk Food Hall, DEFRA Secretary Liz Truss, South Suffolk MP James Cartlidge and Babergh District Councillor Jennie Jenkins meet for an informal meeting on the outcome of the RDPE funding provided for the commercial artisan kitchens in the Cookhouse at the Suffolk Food Hall.

Apprenticeship Levy funding from major supermarket chains and food manufacturers could deliver a boost to skills training for smaller food businesses and farming, a senior Government minister has said during a visit to Suffolk.

The Inspirations shop in Wickham Market,owned by shareholders in the community, is now officially open. Nick Denny from the Co-op cut the ribbon.

The much anticipated transformation of a Suffolk village’s former supermarket into a new community retail venture was celebrated this week - four years after the site was last in use.

New-build utility connections specialist Brookfield Utilities has reported increased annual profits.
Photo: Rui Vieira/PA Wire

Annual profits at Suffolk-based Brookfield Utilities have increased by more than one-third as it continues to add to the number of properties it connects.

Most read

Great Days Out

cover

Click here to view
the Great Days Out
supplement

View

Most commented

HOT JOBS

Show Job Lists

Streetlife

Newsletter Sign Up

Great British Life

Great British Life
MyDate24 MyPhotos24