Overcast

Overcast

max temp: 18°C

min temp: 12°C

ESTD 1874 Search

Retail: Morrisons to axe 2,600 jobs under store management shake-up

16:09 17 June 2014

Morrisons has announced plans to re-shape its store management structure in a bid to improve its performance.

Morrisons has announced plans to re-shape its store management structure in a bid to improve its performance.

Struggling supermarket chain Morrisons has announced it is to axe 2,600 jobs as part of a drive to modernise the way its stores are managed.

shares

Chief executive Dalton Philips wants to remove layers of management that currently mean some stores have seven tiers between the shop floor and the store manager.

The changes will involve around 2,600 redundancies, although Morrisons said this year will also see it create 1,000 jobs in its M local convenience stores and an additional 3,000 in new supermarkets.

It said it will look to relocate staff to these businesses where possible.

he new store structure will bring together department managers and supervisor positions into a single and smaller tier of team managers.

From this group Morrisons is proposing to promote 1,000 into new duty manager roles to strengthen the senior management team in each store. Hours will also be re-invested in customer-facing jobs on the shop floor.

Mr Philips said: “This is the right time to modernise the way our stores are managed. These changes will improve our focus on customers and lead to simpler, smarter ways of working.

“We know that moving to the new management structure will mean uncertainty for our colleagues and we will be supporting them through the process.”

The company said a trial of the new management structure found that it led to stronger performance and clearer lines of responsibility. It added that more staff were in roles where they can engage with customers.

The changes come amid increasing pressure on Mr Philips after the chain racked up an annual loss of £176million in the year to February and recently announced a 7.1% decline in quarterly sales.

Mr Philips has previously made stark comments about the need to drag the supermarket into the 21st Century, though he has refrained from criticising his predecessors.

As well as investing £1billion in price cuts over three years, he has launched an online operation, expanded Morrisons’ presence in the convenience store sector and moved to update antiquated IT systems.

Morrisons said it had today opened discussions with staff and their representatives about the new management structure.

The chain, which employs more than 126,000 staff, has 511 supermarkets and 117 convenience stores.

Joanne McGuinness, national officer at shopworkers’ union USDAW, said: “The next few weeks will be a worrying time for our members in Morrison’s and we will do everything possible to support them.

“Today marks the start of a 45-day consultation period, where we will look in detail at the company’s business case. Our priority will be to safeguard as many jobs as possible, maximise employment within the business and get the best possible outcome for our members affected by this restructuring.”

shares

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

Arlingtons new art exhibition, Liz and Ken Ambler at the launch

Music, art, wine and a great deal more

Steven and Debbie Morgan pictured when they took over The Royal Oak earlier this year

Firefighters were called to a pub last night following a water leak which caused flooding.

Bury Council Building Angel Hill.

The new chairman of Bury Town Council has said he intends to make the authority relevant after claiming it has done “almost nothing” for the last few years.

Rachel Pearlman, Zoe Bradbury, Jack Northcott and Jordan Keeble of Ginger Nut Media team  at the OXO Tower in London, after being awarded as the best level of support during Advanced Apprenticeships.

A digital advertising firm is celebrating after scooping an award for its supportive training regime.

Tesco  Group Chief Executive Dave Lewis

Tesco paid £4.1 million to new boss Dave Lewis in his first six months after he was brought in from consumer goods group Unilever to turn around the embattled supermarket.

Town centre businesses fear the Tollgate Village could sound the death knell for Colchester High Street.

An alliance of businesses in central Colchester have voiced opposition to out-of-town development proposals they say could deal a “fatal” blow to the town centre.

Royal Mail has seen a rise in annual profits.

Royal Mail today reported a rise in underlying annual profits as a squeeze on costs helped offset a lower than expected performance from its parcel business.

A branch of cash and carry chain Booker

The country’s largest cash and carry chain is to buy Londis and Budgens in a £40million deal to boost its scale amid the ongoing supermarket price war.

Niall Dyer, managing director of Plinth 2000, which is flying the flag from Britain in export markets.

Suffolk treatment couch manufactuer Plinth 2000 has delivered its largest-ever export order.

Barclays has agreed a £1.53b fine with US and UK authorities over the rigging of foreign exchange markets.

Barclays has agreed a £1.53billion fine with US and UK authorities amid a raft of new settlements with banks over their involvement in the rigging of global currency markets in the latest scandal to engulf the industry.

Most read

Most commented

Topic pages