Sainsbury’s to restructure logistics operations

Sainsbury’s has announced that a major restructuring of its logistics operations will affect almost 7,000 staff throughout the UK. 

According to the retailer, no one will lose their job or get moved to other contractual terms, as the logistics shake-up only means that service and availability will be made better for customers. 

Employees were informed of the plans on Wednesday morning and will be consulted on the changes.

Sainsbury’s plan will mean that approximately 3,000 staff will transfer to DHL, Wincanton and GXO Logistics, which each deal with a different type of product. 

The news comes as previously, the retailer has had different contracts for different products in various locations. Now, the contracts with its three partners will be nationwide.

An additional 4,000 who currently work for one of the three will move to another one of the partner businesses.

Simon Roberts, chief executive officer of Sainsbury’s, said: “We believe our logistics and fulfilment operation will be one of our key competitive advantages in the future and today’s announcement will benefit our whole network through knowledge sharing and increased innovation.

“We’re confident that these changes will help us continue to invest where it will make the most impact for customers, now and in the future. We understand that this is an important announcement for affected colleagues within Sainsbury’s, Argos and across our logistics partners and we will support them through this consultation process.”

He added: “With these changes, our focus is on improving the service we offer our stores and customers, accessing global expertise and providing new career paths for the future – no matter which partner our colleagues are working for.”