It’s never good news when near-500 people are made redundant just before Christmas, but unfortunately this is the case over at Asda who have just announced that 475 roles will be axed this week.
Surprisingly, the supermarker chain said the move would impact head office staff and not retail staff at Asda branches across the UK. Workers were also told they need to return to the office for a minimum of three days a week starting in January; a change that will affect around 5,000 people.
A spokesperson from Asda said, “This approach brings us in line with our competitors” to “build high-performing teams with a collaborative culture.” Guess we’re going to have to take their word for it on that one.
News of the redundancies was delivered to staff in an email from Asda chairman Stuart Rose and board member Rob Hattrell, which has now been published in full.
The email begins by noting that Asda had seen “much change” over the last three years with the rollout of its smaller stores, Asda Express, and the creation of its loyalty scheme, Asda Rewards, and its “Future Programme, which will see the supermarket overhaul the entire IT system it used under its former owner Walmart.
The email states that Asda needed to “ensure that the business is best placed to meet our longer-term ambitions.”
It continues:
“We have rightly taken the decision to invest in our stores, focus on improved availability, enhanced customer experience, alongside a stronger trade plan. We must now deliver a more flexible and fast-moving Home Office structure to support those priorities and put us firmly back in the service of our customers.
“As part of this process, we are redefining roles and accountabilities to remove duplication and simplify structures. We need colleagues to be more empowered in their decision making as we deliver for customers. Additionally, we want you to have more fulfilling roles and feel supported in your career development.”
To “drive these priorities”, Asda was delivering “fewer bigger roles, clear accountabilities and ownership, simplified ways of working, using new technology, and effective processes and cross-functional touch points.” Unfortunately, this meant staff were going to have to leave the business”.
“Sadly, as a result, some colleagues will be leaving the business this week, whilst others will be considering new roles and responsibilities. Change is never easy and is unsettling, but the Executive Team believe it is necessary to enter 2025 in a stronger position, fully focused on serving our customers, delivering our ambitions and driving long-term growth. We want to place on record our thanks to all those colleagues who are leaving us this week, as well as those remaining as we move forwards.”
Well, I guess there’s never a perfect way to tell 475 people you’re making them redundant (before the holidays, no less!), but Asda have clearly decided this is what’s in their long-term interests and so this is them communicating that to their staff.
From the sounds of it, they are loading more tasks to fewer people, and will also have automated processes replaces the people they are firing. Interesting that this has come immediately after Labour’s budget announcement?
Oh well, here’s hoping the staff affected will be able to move onto bigger and better things, and that the service/customer experience at Asda doesn’t degrade too much off the back of decisions like this.
For the mum who was left horrified after finding fish eggs in her 75p Asda fish fingers, click HERE. That’s caviar, isn’t it?