Tesco has announced plans to cut 400 jobs as part of a broader initiative to streamline its operations and enhance efficiency. The job reductions will primarily affect head office management, Tesco Mobile store managers, and staff working in the supermarket chain’s in-store bakeries.
CEO Matthew Barnes emphasized that while these were difficult decisions, they were essential for the company to invest in areas that directly impact its customers. Barnes reassured employees that the company would support those affected by the layoffs and help them find alternative roles within Tesco, citing nearly 1,000 vacancies across the business.
The move follows similar cost-cutting announcements from other major UK supermarkets. Last week, Morrisons revealed plans to eliminate over 200 positions as part of an ongoing effort to reduce operational costs in response to rising expenses. The roles being axed include regional and store people managers, along with case specialists. A 45-day consultation period will now begin for employees in these roles.
Sainsbury’s, meanwhile, is set to cut 3,000 jobs, including a 20% reduction in senior management positions. The supermarket chain is also closing its remaining patisserie, hot food, and pizza counters, alongside the closure of all 61 in-store cafes, as part of an effort to simplify its business operations.
The wave of job cuts across the UK supermarket sector comes as businesses navigate increasing costs and adapt to changing consumer demands. Industry observers see the restructuring efforts as necessary for these companies to stay competitive in an evolving market.
References:
- Tesco earnings report, 2025
- Morrisons and Sainsbury’s restructuring announcements
- UK supermarket industry trends and analysis
