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British supermarket chain Sainsbury’s is to cut about 2,000 jobs in the United Kingdom, aiming to save up to 500 million pounds (560 million euro) in an attempt to compete with discounters.
Evolving market
Jobs will be cut both at the supermarkets and at the main offices, which the company deems necessary to remain competitive compared to the discounters like Aldi and Lidl. Both are surging ahead in the United Kingdom and the traditional supermarket chains are rapidly losing market share. “The British market is rapidly evolving and it is crucial we deal with the way we work in order to tackle future challenges and to keep offering our customers the best service”, a spokesperson told The Guardian.
Sainsbury’s currently has 119,00 FTE’s and is working to create a centralized HR system, spelling bad news for the local HR employees. The chain hopes to save up to 500 million pounds in costs by March 2018.
Back in March, the chain already executed several major changes, that led to 400 jobs lost and another 4,000 employees having to deal with new schedules. For instance, the company cut night shifts in 140 stores.
