Tesco is the latest large employer to announce a change to its business model. This puts 400 jobs in danger.
Tesco announced that the restructuring would affect its managers at its head office, as well as employees of mobile phone shops and bakers.
Matthew Barnes, UK chief Matthew Barnes stated: “These decisions are hard on our colleagues but we feel they are necessary for us to invest what is most important to our customers.
We will do all we can to find them alternative roles in our company. We have over 1,000 vacancies today.”
The announcement comes after news that Sainsbury’s was cutting 3,000 jobs by closing most of its hot food counters and cafes. They also reduced management roles by one fifth. The latest job losses are a reflection of the high level of uncertainty on the labour market, as businesses prepare to pay higher wages in April.
Rachel Reeves, the chancellor, announced in her budget for October that employer national insurance contributions would be increased to 15%. She also lowered the threshold below which they are payable and announced a 6,7% increase on the national living wages.
Lloyds Banking Group announced it would close 136 branches between May of this year and the end of March 2026. This is due to customer behavior, which has seen more people using online and mobile banking.
A spokeswoman said that there are no reductions in roles as a result of this announcement. All colleagues working at these branches will receive an offer to work at another branch, or another area of the company.
The bank stated: “Over 20 millions customers use our apps to access their money on demand. Customers have more flexibility and choice than ever before for their daily banking.
“In addition to our apps, customers have the option of using telephone banking, visiting a local banker, or visiting any Halifax, Lloyds, or Bank of Scotland branch. This gives them access to a much larger number of branches.
Customers can also conduct their daily banking in over 11,000 Post Office branches or at a Banking Hub.
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