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Morrisons is reportedly planning to part ways with at least 83 maintenance suppliers and shift to one single supplier, in a move that could endanger around 1,000 jobs.
According to The Guardian, the move forms part of its plans to cut costs across the business, with plans to axe a further 50 property maintenance roles at its Bradford head office and across the UK.
Some staff will reportedly be moved to the group’s new sole provider, City Facilities Management, while some existing suppliers may become subcontractors.
Morrisons’ current suppliers told The Guardian they had been warned their contracts were likely to end in July, and that more than 200 providers and 100 head office staff could be affected by the change. Morrisons disputed this claim however.
While Morrisons predicted 120 jobs would be lost in total, suppliers said they had been given no guarantees and believed that “many more could go”.
Nonetheless, a Morrisons spokesperson told The Guardian: “We are proposing some important changes and improvements to our maintenance model through a new national partnership with City FM, but we anticipate many of our existing suppliers to continue to work for Morrisons under subcontracting arrangements. We are endeavouring to communicate and execute these changes carefully and thoughtfully with all those affected.”
However, two suppliers told The Guardian they may have to lay off almost 200 staff between them while some suppliers could collapse due to their reliance on Morrisons.
Morrisons has been contacted for further comment.
