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Asda is reportedly looking to cut store manager roles as part of the supermarket chain’s wider effort to revive its performance under chairman Allan Leighton, The Telegraph has reported.
It comes after the retailer announced yesterday (9 July) that it will merge two existing in-store management roles – section managers and trading managers – into a single post.
Section managers oversee team leaders and shop-floor staff, while trading managers are more senior and responsible for “driving sales and standards”.
The move is expected to lead to redundancies across Asda’s 700 larger stores, though the company has not confirmed how many people would be affected at this stage.
However, this shake-up will also promote around 20% of current managers into the new combined role, while others will be redeployed to nearby stores where possible.
A spokesman for Asda said: “The investment in this new structure brings decision making closer to the shop floor and our customers by clarifying roles and providing clearer accountabilities. We will be offering our full support to other colleagues impacted by the changes.”
The company confirmed that the restructure does not affect Asda Express stores.
The move is the latest in a series of cost-cutting measures under Leighton, who returned as chairman in November. In March, Asda dismissed more than 200 staff involved in a failed £800m IT project, and cut bonuses for thousands of managers because of weak performance. In January, it axed 13 regional managers.
Leighton has said his strategy will prioritise store investment and lower prices, even at the expense of profits, as part of an attempt to regain shoppers. Recent figures from Kantar show Asda’s market share fell from 12.5% to 11.9% in the year to mid-June.
