Rain

Rain

max temp: 9°C

min temp: 5°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

Samantha Stone from NatWest with John Dang (left) and Sim Mboniswa (right) from Pac k& Send in Colchester.

A new fanchise of Pack & Send, the Australian freight packing and shipping concept which arrived in the UK in 2009, has been launched in Colchester.

Macmillan has been adopted by builders' merchant chain Ridgeons as its chosen charity until the end of 2017.

Regional timber and builders merchant chain Ridgeons has raised £15,254 in the first year of its two-year partnership with Macmillan Cancer Support.

Charity evening on the ice at Winter Wondeland in Colchester

Suppliers, small businesses and individuals have “little chance” of getting any of the quarter of a million pounds they are owed from the collapse of Colchester’s outdoor ice rink.

Keith Norman, Fred. Olsen Cruise Lines’ business development manager (back row, centre) launches the company'’s sponsorship of Suffolk FA’s Walking Football initiative at Whitton Sports Centre in Ipswich.

Fred. Olsen Cruise Lines has become a sponsor of Suffolk FA’s Walking Football initiative.

Sam Parnell and Max Shelley of Measured Brilliance

Digital Marketing ‘meetup’ group SIMS teams up with Measured Brilliance and Ipswich Borough Council to help businesses in 2016.

Most read

Fred Olsen Travel Sale

cover

Click here to view
the Fred Olsen
Travel Sale

View
HOT JOBS

Show Job Lists

Topic pages

Streetlife

Great British Life

Great British Life
MyDate24 MyPhotos24