Asda has confirmed plans to make 1,360 managers redundant and create 5,670 new roles across the business, with both moves expected to affect its clothing brand George.
The supermarket will introduce 1,662 section manager and 4,008 section leader positions across its 578 stores, with the aim being to put more people “on the shop floor”. This is 670 more roles than originally proposed in May.
Asda could not confirm how many roles in the fashion division will be made redundant or created.
Asda said the changes would take place “over the coming weeks”.
Chief executive, Andy Clarke, said it had been “one of the most difficult decisions” he had ever had to make, adding: “Whilst I genuinely believe that it is the right decision for the future of Asda, knowing that it will result in valued colleagues leaving us is not easy.
“Every supermarket must adapt to the intense changes in UK retailing or they will get left behind. We spotted this nearly two years ago, responding with a new strategy and taking time to thoroughly examine our structures, test scenarios, talk to our colleagues and adjust our proposals accordingly.
“This thorough process has helped us to reach this difficult decision today.”
The supermarket agreed to add the extra 670 roles to the new structure following a formal consultation with the 4,100 employees directly affected by the changes. The revised proposal was approved by Asda’s executive team yesterday (July 2).
Asda hopes the restructure will create more flexibility in the management teams, put more employees on the shop floor, reduce back office administration tasks and allow them to place greater emphasis on ecommerce - all part of its bid to make £1bn of “efficiency savings” in the next five years.