Zarah ChoudharySainsbury’s has plans to reduce more than 3,000 roles across the business as part of ongoing efforts to simplify central divisions and management structures.
This includes an estimated 20% reduction in senior management roles, with head office departments reorganised to better align with the distinct needs of Sainsbury’s and Argos.
The retailer said it aims to create fewer but larger roles with clearer accountabilities to drive faster decision-making and improve overall efficiency.
The company is engaging with affected colleagues to explore redeployment opportunities where possible.
For those unable to be redeployed, Sainsbury’s is offering a support package that exceeds statutory requirements, along with tailored career guidance.
This announcement came as Sainsbury’s accelerates into the second year of its three-year ‘Next Level’ strategy.
The strategy includes proposals to enhance core food ranges for supermarket customers and achieve £1bn in operating cost savings under its Save and invest to win programme.
Sainsbury’s has also made the difficult decision to close its remaining 61 Cafés, subject to consultation.
The retailer noted that the majority of shoppers do not use the Cafés regularly, and Cafés and food halls run by specialist partners are becoming increasingly popular alternatives.
The business also announced changes to its central management structures to support faster decision-making and drive performance across both Sainsbury’s and Argos.
Rhian Bartlett will take on the role of chief commercial officer at Sainsbury’s, while Graham Biggart will become MD of Argos and chief strategy and supply officer.
Patrick Dunne, currently director of property and procurement, will join the operating board as chief property and procurement officer and MD for SmartCharge.
Simon Roberts, chief executive at Sainsbury, said: “We launched our Next Level Strategy almost a year ago and are totally focused on making good food joyful, accessible and affordable for everyone, every day.
“As a result, we’re seeing real momentum across our business, with a best-ever value position, leading quality and increasing market share.
“As we accelerate into year two and beyond of our strategy, we are facing into a particularly challenging cost environment which means we have had to make tough choices about where we can afford to invest and where we need to do things differently to make our business more efficient and effective.
“The decisions we are announcing today are essential to ensure we continue to drive forward our momentum but have also meant some difficult choices impacting our dedicated colleagues in a number of parts of our business.
“We’ll be doing everything we can to support anyone impacted by today’s announcements.”
