More than 2,600 jobs go as Morrisons culls managers
18 June 2014
Morrisons has announced 2,600 redundancies in a cull of managers as the supermarket chain consults its 126,000 employees about simpler lines of responsibility in stores across the UK.
Wed, 18 Jun 2014Morrisons has announced 2,600 redundancies in a cull of managers as the supermarket chain consults its 126,000 employees about simpler lines of responsibility in stores across the UK.
But 1,000 jobs are being created in Morrisons M local convenience stores and 3,000 in new supermarkets. The company says it “will look to offer displaced colleagues the opportunity to work in these growing businesses”.
In a statement, Morrisons says the aim is to modernise the way stores are managed, simplifying responsibilities while improving customer service. “Some Morrisons stores currently have seven tiers between the shop floor and the store manager,” it admits.
Department managers and supervisor positions will be brought together in a single, smaller tier of team managers, the company says. From this group, Morrisons aims to promote 1,000 into new duty manager roles to strengthen the senior management team in each store.
In trials of the new structure, customer satisfaction was reportedly stronger because more staff have roles where they engage with customers.
Dalton Philips, chief executive of the Bradford company, says: “This is the right time to modernise the way our stores are managed. These changes will improve our focus on customers and lead to simpler, smarter ways of working.
“We know that moving to the new management structure will mean uncertainty for our colleagues and we will be supporting them through the process.”
USDAW national officer Joanne McGuinness says it is a worrying time for members of the union at Morrisons. “Our priority will be to safeguard as many jobs as possible, maximise employment within the business, and get the best possible outcome for our members affected by this restructuring.”
A 7% fall in quarterly like-for-like sales in the face of competition from discounters Aldi and Lidl recently forced Morrisons to announce £1bn of price cuts.
Philips has been accused by Sir Ken Morrison, who built the family retailer into one of the UK’s big four supermarkets and is now retired, of talking strategic “bullshit” at the company’s recent AGM. Commenting on the redundancies, Sir Ken told the BBC: "I feel for them all because they've been there in their jobs for quite a long time. A lot of them are good friends of mine and a lot of them are known to me. Breaking a team up is disappointing."
But 1,000 jobs are being created in Morrisons M local convenience stores and 3,000 in new supermarkets. The company says it “will look to offer displaced colleagues the opportunity to work in these growing businesses”.
In a statement, Morrisons says the aim is to modernise the way stores are managed, simplifying responsibilities while improving customer service. “Some Morrisons stores currently have seven tiers between the shop floor and the store manager,” it admits.
Department managers and supervisor positions will be brought together in a single, smaller tier of team managers, the company says. From this group, Morrisons aims to promote 1,000 into new duty manager roles to strengthen the senior management team in each store.
In trials of the new structure, customer satisfaction was reportedly stronger because more staff have roles where they engage with customers.
Dalton Philips, chief executive of the Bradford company, says: “This is the right time to modernise the way our stores are managed. These changes will improve our focus on customers and lead to simpler, smarter ways of working.
“We know that moving to the new management structure will mean uncertainty for our colleagues and we will be supporting them through the process.”
USDAW national officer Joanne McGuinness says it is a worrying time for members of the union at Morrisons. “Our priority will be to safeguard as many jobs as possible, maximise employment within the business, and get the best possible outcome for our members affected by this restructuring.”
A 7% fall in quarterly like-for-like sales in the face of competition from discounters Aldi and Lidl recently forced Morrisons to announce £1bn of price cuts.
Philips has been accused by Sir Ken Morrison, who built the family retailer into one of the UK’s big four supermarkets and is now retired, of talking strategic “bullshit” at the company’s recent AGM. Commenting on the redundancies, Sir Ken told the BBC: "I feel for them all because they've been there in their jobs for quite a long time. A lot of them are good friends of mine and a lot of them are known to me. Breaking a team up is disappointing."
