Sainsbury’s has revealed plans to eliminate over 3,000 positions and close its remaining in-store cafes as part of a significant restructuring effort.
This reduction accounts for approximately 2% of the company’s existing workforce of 148,000 employees.
Additionally, the supermarket chain will cut around 20% of its senior management roles to streamline its head office and management teams, concentrating on fewer, more substantial positions.
The retailer also announced its intention to shut down the last 61 Sainsbury’s Cafes, pending consultation. The decision comes as most Sainsbury’s customers rarely visit the cafes, while in-store food halls and concessions have become increasingly popular.
Simon Roberts, Sainsbury’s Chief Executive, stated that the supermarket is navigating a “particularly challenging cost environment” while advancing its company strategy.
He commented, “As we move into the second year and beyond of our strategy, we are encountering a notably difficult cost environment. This has compelled us to make tough decisions regarding where to invest and where to implement changes to enhance our business’s efficiency and effectiveness.
“The announcements we are making today are crucial to maintaining our forward momentum, but they have also required us to make difficult choices affecting our dedicated employees across various parts of our business.
“We are committed to supporting everyone affected by today’s announcements in every possible way.”
