Morrisons has announced plans to cut 2,600 store management jobs as part of a restructuring that will affect 15,000 staff. The Bradford-based supermarket began a 45-day consultation process on Tuesday, aiming to remove two tiers of management in stores to reduce costs and fund price cuts for shoppers.
Chief executive Dalton Philips said: 'These changes will improve our focus on customers and lead to simpler, smarter ways of working.' The move follows trials of three slimmed-down management structures over the past year. The company said customers liked the new structures because they increased the number of staff available to help them.
Trade union Usdaw's national officer Joanne McGuinness expressed concern for workers: 'The next few weeks will be a worrying time for our members in Morrisons and we will do everything possible to support them.' About 1,000 staff will be promoted to more senior roles, and Morrisons is confident of finding new positions for many others, including at its M Local convenience stores where 4,000 jobs will be available this year.
The job cuts come as Morrisons faces pressure to reduce costs to fund £1bn in price cuts and product improvements over three years. Last month, it cut prices on 1,200 items by an average of 17% after a 7% slump in quarterly like-for-like sales. The restructuring mirrors moves by other major supermarkets, which are cutting costs as grocery sales shift online and discounters like Aldi and Lidl intensify competition.
