Tesco UK to cut 4,500 jobs at 153 outlets in latest layoffs

By THE NATION

 

 

Tesco is to cut 4,500 jobs at 153 high street Tesco Metro supermarkets, adding to the 9,000 roles the UK’s biggest retailer warned were at risk earlier this year, the Guardian reported on Tuesday.

 

The supermarket chain said it was responding to changes in customer habits, including a shift towards using the larger Metro stores for convenience shopping rather than large weekly food shops. It is also facing tough competition from discounters Aldi and Lidl, which are continuing to open new shops.

 

But labour groups said the cuts indicated that the government was not doing enough to alleviate the burden on traditional shops and prevent the high street being “hollowed out”. According to the British Retail Consortium the number of people employed in retail is down 72,000 on a year ago.

 

In a statement on its website, Tesco said the job cuts were part of an effort to “simplify and reduce processes and administrative tasks” across all of its Metro stores.

 

“The changes in our Metro stores will be focused on better tailoring them to how our customers shop,” it said.

 

“The Metro format was originally designed for larger, weekly shops, but today nearly 70 per cent of customers use them as convenience stores, buying food for that day.”

 

It said it could cut staff numbers because it had found simpler ways of stacking shelves that meant there was less need to store stock in backrooms, while it also wanted to simplify store management structures and introduce more flexible working hours.

 

Tesco will also reduce opening hours in 134 of its 1,750 smaller neighbourhood Express stores, where customer traffic is lower.

 

Jason Tarry, the supermarket’s UK and Ireland boss, 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.”

 

The retailer, which has more than 300,000 UK employees and more than 3,400 stores, said earlier this year it could cut 9,000 jobs, although it hoped to redeploy up to half into other customer service roles. Fishmonger, butcher and baker jobs at the retailer were expected to be at risk, along with counter staff.

 

The cuts at Tesco are part of plans by the chief executive, Dave Lewis, to slash 1.5 billion pounds (Bt56.1 billion) from Tesco’s cost base. 

 

A source at Tesco's operations in Thailand revealed that the job cut is in line with the reshuffle at UK operations and does not have any impact on the Thai operations. The company declined to make any further comment.

 

Source: https://www.nationthailand.com/business/30374334

 

-- © Copyright The Nation Thailand 2019-08-06

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43 minutes ago, webfact said:

The cuts at Tesco are part of plans by the chief executive, Dave Lewis, to slash 1.5 billion pounds (Bt56.1 billion) from Tesco’s cost base. 

 

A source at Tesco's operations in Thailand revealed that the job cut is in line with the reshuffle at UK operations and does not have any impact on the Thai operations. The company declined to make any further comment.

That money could go a long way towards building all the new stores that are to be opened here 

18 hours ago, keith101 said:

That money could go a long way towards building all the new stores that are to be opened here 

and provide more efficient training. How often does one find aisles partially blocked with boxes whilst a small team are restocking the shelves during normal shopping hours thus preventing easy access with one's trolley.

19 hours ago, webfact said:

In a statement on its website, Tesco said the job cuts were part of an effort to “simplify and reduce processes and administrative tasks” across all of its Metro stores.

Translation- "we want to make more money for the bosses and screw the workers".

Actually, with self checkouts at supermarkets they don't need any checkout staff. IMO getting rid of provided bags and making people bring their own was the first step in changing to self checkout.

Anyone that thinks this isn't going to become a recurring news item need to wake up and smell the coffee, as some like to say. Possibly, it's going to become so common that it won't even be newsworthy any more. As I've been saying on TVF for some time, AI and robotics can replace almost all human work.

Now that banks have machines replacing tellers, it's going to become possible to go to town and not speak to another human being.

 

19 hours ago, webfact said:

The retailer, which has more than 300,000 UK employees and more than 3,400 stores, said earlier this year it could cut 9,000 jobs, although it hoped to redeploy up to half into other customer service roles. Fishmonger, butcher and baker jobs at the retailer were expected to be at risk, along with counter staff.

The kicker will be that "other customer service jobs" won't be paid as well.

If all the companies go the same route, there aren't going to be enough workers to buy anything except essentials, which will have an impact on the economy that governments are not, apparently, willing to discuss. They seem to be like the 3 monkeys on the mega layoffs that are coming.

35 minutes ago, Burma Bill said:

and provide more efficient training. How often does one find aisles partially blocked with boxes whilst a small team are restocking the shelves during normal shopping hours thus preventing easy access with one's trolley.

Don't sweat the small stuff - life is too short!

17 minutes ago, Handsome Gardener said:

Don't sweat the small stuff - life is too short!

If life was like "back home", what would be the point of living in LOS anyway?

Boxes in the aisle are just part of the rich tapestry of life in Thailand. Enjoy that it's not back home.

32 minutes ago, thaibeachlovers said:

Translation- "we want to make more money for the bosses and screw the workers".

Actually, with self checkouts at supermarkets they don't need any checkout staff. IMO getting rid of provided bags and making people bring their own was the first step in changing to self checkout.

Anyone that thinks this isn't going to become a recurring news item need to wake up and smell the coffee, as some like to say. Possibly, it's going to become so common that it won't even be newsworthy any more. As I've been saying on TVF for some time, AI and robotics can replace almost all human work.

Now that banks have machines replacing tellers, it's going to become possible to go to town and not speak to another human being.

 

Not so much "the bosses", but for the shareholders which is the duty of all publicly owned companies. That's capitalism for you.

Just now, Joe Mcseismic said:

Not so much "the bosses", but for the shareholders which is the duty of all publicly owned companies. That's capitalism for you.

Unfortunate that thailand has not developed co-operatives....

4 minutes ago, Joe Mcseismic said:

Not so much "the bosses", but for the shareholders which is the duty of all publicly owned companies. That's capitalism for you.

I'm sure the bosses will do very nicely though. 

Keep sacking people though, and they will find that the people can only be pushed so far.

 

As I already pointed out, once too many people lose their jobs, there will be no spare money for people to but anything except essentials, and the capitalists will be presiding over nothing.