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Tesco to Eliminate Upwards of 2,000 Office Jobs

Tesco to Eliminate Upwards of 2,000 Office Jobs

Thursday, June 29th, 2017

In a second round of cuts, this time to its head office and support centers, Tesco will be laying off 1,200 members of its staff in an attempt to lower costs. According to BBC News, this is part of a turnaround effort to cut nearly $2 billion (£1.5 billion) in costs.

"This new service model will simplify the way we organize ourselves, reduce duplication, and cost but also, very importantly, allow us to invest in serving shoppers better," a Tesco spokesperson told the source.


Roles that will be cut in order to streamline costs include marketing, finance, buying, and property functions, the Financial Times reports, and will affect one in four workers at the supermarket’s head office.

This announcement comes on the heels of many staff reducing and cost-cutting ventures by Tesco. Just last week, Tesco revealed it would “simplify its customer service operations” by laying off 1,100 workers at one of the company’s call centers.

Matt Davies, CEO, Tesco UK“The retail sector is facing unprecedented challenges and we must ensure we run our business in a sustainable and cost-effective way, while meeting the changing needs of our customers,” said Matt Davies, Tesco’s UK CEO.

Earlier this year, Tesco also announced plans to eliminate 1,600 deputy store manager roles, as well as 1,000 members of its distribution staff.

Will these cost-cutting strategies lead to Tesco’s climb back towards being the UK’s number one retailer? Deli Market News will be there to tell when the time comes.