Aldi cuts hundreds of UK head office jobs in cost-cutting push

Summarised from 5 outlets · 6 reports · Updated 11 Nov, 16:28 · Archive

Aldi is consulting on cutting up to 150 roles from its UK technology team as part of global cost-reduction efforts.

Aldi is consulting on cutting up to 150 roles in its technology team at its UK head office in Atherstone, Warwickshire, as part of a wider global cost-reduction effort by its German parent company. This follows 103 redundancies in the finance and administration team earlier this year and almost 20 buying director positions being cut.

The discount supermarket is outsourcing finance, procurement and administration roles to India and other countries as part of a deal with Genpact, a company that helps businesses develop the use of artificial intelligence technology. The retailer is centralising more work across its international operations and reducing the number of people in local country operations.

Aldis head office has also recently reduced cleaning hours for agency workers. Consultation is set to begin on redundancies in payroll in the coming months, according to reporting.

Jobs in Aldi's stores are not expected to be affected, although the retailer has slightly reduced the number of regional managers, affecting a handful of high-paying roles. Aldi operates more than 1,000 shops across the UK and Ireland and is the UK's fourth-largest grocery chain according to the latest Worldpanel by Numerator data. The company has previously stated it wants to reach 1,500 shops and focus on communities where it sees a lack of affordable options for shoppers.

One affected worker described the cuts as 'shortsighted' and said upper management were 'woefully out of touch with the reality'. An Aldi spokesperson said the company was making 'some adjustments to the way parts of our UK business are structured' to ensure it operated 'simply, efficiently' and used its 'global scale' to offer 'great quality products at unbeatable prices'. The spokesperson added that changes would be introduced gradually with 'full support available to everyone affected', and that colleagues were being given 'as much notice as possible'.

How it is being reported

• Aldi cuts head office jobs in shake-up of UK operationsAldi is planning to cut up to 150 jobs from its UK head office as part of the discount grocer’s ongoing shake-up of its tech and admin operations. The supermarket chain is consulting on the loss of up to 150 roles in its technology team, after cutting 103 jobs from its finance and administration department [...]City AM · 11 Nov, 12:56
• Aldi to axe hundreds of UK jobs under global cost-saving plansThe discount supermarket is consulting with its technology team over the proposalsThe Independent · 11 Nov, 11:08
• Aldi confirms plans to cut 150 job roles in shake-up of UK businessThe retailer has reportedly been outsourcing some roles to lower-cost companies in Eastern Europe and India.Daily Express · 11 Nov, 10:10
• Aldi to cut hundreds of UK jobs with plans to move more roles overseasAldi will cut hundreds of jobs in the UK as part of efforts to reduce costs and move roles overseas as sales fail to keep pace with rivals.This is Money · 11 Nov, 10:08
• Aldi to cut head office roles in shake-up of UK businessIt comes on top of about 103 redundancies made within the finance and administration teams earlier this year.Independent Business · 11 Nov, 09:42
• Aldi cuts hundreds of UK head office and logistics roles as part of global cost trimmingSupermarket’s move labelled ‘shortsighted’ by worker who calls upper management ‘woefully out of touch with reality’ Aldi’s UK business is cutting hundreds of head office and logistics roles as part of a global effort to trim costs at the budget grocer. The retailer is consulting with its technology team on the loss of up to 150 roles after 103 redundancies in its finance and administration team earlier this year and almost 20 more redundancies among buying directors. Continue reading...The Guardian · 11 Nov, 06:00

In this story: Aldi · Genpact · India · Atherstone · Warwickshire · UK

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