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The British supermarket chain Morrisons is restructuring its central organization. At its headquarters in Bradford, approximately 200 jobs are at risk, accounting for just under 10% of the workforce at that location.
Automation and AI
The retailer, which employs some 96,000 people in the United Kingdom, has now initiated a consultation process with the affected employees. The move is part of a broader strategic reorientation, in which Morrisons is placing greater emphasis on automation and artificial intelligence.
A spokesperson explained the plans to the BBC: “As we evolve and adapt, we are proposing changes to various parts of our central organization. This will involve difficult but necessary decisions that will affect colleagues at our headquarters.” For the affected employees, Morrisons promises to assist them in finding other work within the organization where possible.
The move is part of a transformation program Morrisons launched last year to increase the efficiency of its central services. A key component of this is the automation of manual processes, in which AI is playing an increasingly significant role. The retailer expects that technology will not only deliver cost savings but also boost operational effectiveness in a competitive market where margins are under pressure.
At the same time, Morrisons continues to invest in price competitiveness. The supermarket chain recently saw a rise in sales, but emphasizes that consumers are struggling. That is why the company wants to continue focusing on competitive pricing to retain customers.
