The Co-operative Group has unveiled a sweeping overhaul of its operations, a move that will result in the loss of approximately 400 jobs while simultaneously creating around 300 new roles. This significant restructure is aimed at streamlining the mutual's operations and positioning it for future growth in a highly competitive retail landscape.
In an internal announcement to staff, the Manchester-based group confirmed that the changes would impact its food retail and funeral businesses, alongside its central support functions. The decision forms a core part of a new strategic plan designed to enhance efficiency and reduce costs.
A Strategic Pivot for Future Growth
Shirine Khoury-Haq, Chief Executive of the Co-op, addressed the difficult decision, stating the changes are essential for building a stronger and more financially resilient co-operative for the long term. She emphasised that the organisation is operating in an increasingly challenging economic environment, necessitating a decisive shift in strategy.
The restructure is not solely about reduction; it also involves a substantial investment in new capabilities. The 300 new positions will be focused on areas identified as critical for future success, including technology, e-commerce, and data analytics, reflecting the group's commitment to adapting to modern consumer habits.
Support for Affected Colleagues
The Co-op has stated that it will begin a consultation process with those employees affected by the proposed redundancies. The group has pledged its full support, including exploring opportunities for redeployment into the newly created roles wherever possible.
This news follows a period of significant leadership and performance reviews within the member-owned organisation, which has been navigating the same inflationary pressures and supply chain challenges affecting the entire UK retail sector.
