Published: Wed, January 24, 2018
Worldwide | By Sean Reid

Tesco and Sainsbury's in management restructuring

Tesco and Sainsbury's in management restructuring

Thousands of Sainsbury's jobs are at risk as the supermarket seeks to shake-up its management structure.

Affected workers will be given the choice of applying for new roles, accept a more junior position with a possible pay-cut or face redundancy consultation.

In a move that, it is claimed, will improve efficiency and give line managers clearer accountability for colleague and customer experience, the supermarket giant is doing away with the roles of people manager and compliance manager in its large stores and fulfilment centres.

"The proposals will introduce a more efficient and effective structure, created to meet the challenges of today's retail environment", he added.

"The proposals. will deliver cost savings to be invested in our customer offer", retail and operations director Simon Roberts said.

Bev Clarkson, the union's acting national officer for food and drink, said: "This is very bad news for those dedicated workers affected by the planned job losses, and Unite will be giving our members maximum support at this hard time".

While both Tesco and Sainsbury's emerged from Christmas with positive sales, 1.9% and 2.3% up on like-for-like sales for the festive period, it was the discounters that really made waves.

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A spokesperson for Sainsbury's said they could not discuss roles at individual stores.

The workers affected across the United Kingdom will be encouraged to stay within the business.

Tesco added it would attempt to find alternative roles for those affected by the cuts.

It needs the savings to help achieve its target of a group operating margin of 3.5 percent to 4.0 percent by the 2019-20 financial year, up from 2.3 percent in 2016-17.

Matt Davies, Tesco UK and ROI chief executive, said: "These changes remove complexity and will deliver a simpler, more helpful experience for colleagues and customers".

The big four United Kingdom supermarkets have also responded to the challenge posed by Aldi and Lidl by cutting costs and prices while simplifying their product ranges.

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