Tesco has announced more changes to the way it operates its supermarkets, putting more than 2,000 jobs at risk. The supermarket chain announced that it would be eliminating 1,750 team manager positions at hundreds of its larger stores in addition to other positions.
There will be a new group of 1,800 shift leaders at a lower salary level who will be responsible for overseeing production. As previously reported, Tesco has announced that it will be closing its counters and hot delis, with employees being offered new employment opportunities elsewhere in the company.
After 26 February, Britain’s largest supermarket will no longer offer a counter service or deli due to low customer demand, the company said. Additionally, eight pharmacies will be closed, overnight shifts will be moved to daytime hours at 12 stores, and some post office hours will be shortened.
Team managers who accept new shift leader positions will have their current salaries guaranteed for two years, according to the company. The grocer has already made these modifications to its smaller convenience stores, but now they are being rolled out to its larger supermarkets and Tesco Extra locations.
Workers at Tesco will find this news “especially difficult,” according to Daniel Adams, national officer of the Usdaw union that represents them. Throughout the process, “we will be doing all that we can to support members with a view toward protecting jobs and, where this is not possible, securing the best possible deal for those affected,” he said.
Consumers opt for store brands because they are less expensive.
GAK9 Tesco’s UK and Ireland boss, Jason Tarry, called the decisions “difficult,” but said they were “necessary to ensure we remain focused on delivering value for our customers wherever we can, and to ensure our store offer reflects what our customers value most.”
“Our top priority is helping affected employees find new opportunities within our company,” he explained.
In addition to the layoffs of team managers, the company is considering a number of other changes that could affect the employment of an additional 350 people. Some positions will be eliminated at the company’s headquarters, and the Maintenance National Operating Centre in Milton Keynes will be shut down.
Tesco announced that it would be consulting with the Usdaw union on the proposals and noted that the company has approximately 2,000 open positions at present. As a result of competition from Aldi and Lidl, larger supermarkets are compelled to become more cost-effective and efficient.
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Asda, the third-largest supermarket chain in Britain, announced last week that it would eliminate 211 night shift manager positions and alter the schedules of 4,137 employees. The move came after rival supermarkets Sainsbury’s and Tesco made similar adjustments to their night shifts.