Tesco has announced that around 4,500 staff in 153 Tesco Metro stores are set to lose their jobs. The supermarket said they are making changes to the way the stores operate to “serve shoppers better”. Tesco boss Jason Tarry said the firm did not take the redundancy decision lightly.
The company said the metro store format was designed for larger, weekly shops however nearly 70% of their customers are using them as convenience stores and buying food for that day.
Tesco’s employ 340,000 people in the UK and Republic of Ireland. They have said the changes to their stores will now include:
- “faster and simpler” ways of filling shelves, with fewer products stored in the back rooms and more stock going straight to the shop floor
- staff working “more flexibly” across the store to improve customer service at the busiest times of the day and in the right areas of the store
- “leaner” management structure.
Mr Tarry said: “In a challenging, evolving retail environment, with increasing cost pressures, we have to continue to review the way we run our stores to ensure we reflect the way our customers are shopping and do so in the most efficient way.
“We do not take any decision which impacts colleagues lightly, but have to make sure we remain relevant for customers and operate a sustainable business now and in the future.”
Following the announcement shares have dropped by nearly 2%.
Earlier this year, Tesco announced it would close food counters in 90 of its stores as a wider cost cutting plan, it affected 9,000 staff.
Pauline Foulkes, Usdaw national officer (Usdaw represents over 160,000 Tesco staff), said: “Our members at Tesco are shocked and dismayed by yet another round of potential job losses, coming just months after 9,000 staff were put at risk in stores.
“We will be working hard to make sure that any members potentially affected by these proposals are supported at this difficult time and throughout the consultation period.
“This issue is not confined to Tesco, our High Streets are in crisis, with jobs being lost due to shops closing, retailers folding and businesses engaging in significant restructuring to survive.
“We need the government to address the worries and concerns of shop workers and our members.”
