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Thousands of jobs at risk as a result of ASDA launching a major restructuring of its business!

04 March 2021

Thousands of jobs at risk as a result of ASDA launching a major restructuring of its business!

ASDA has warned that 3,000 workers in its stores are at risk of losing their jobs, but it plans to increase investment in online sales.

As many of you are aware, there has been an increase in demand for online shopping for both essential and non-essential items as a result of the pandemic. The covid-19 pandemic has caused a dramatic increase in online shopping, resulting in the highest online sales growth in 13 years!

Many companies have managed to stay afloat and adapt. However, with the peak of the pandemic hopefully over and light at the end of the tunnel, it’s now time for companies to shift their focus to long term strategies.

The grocery company, ASDA, has stated that the restructuring of the business has been driven by the structural shift towards online essential shopping during the pandemic. The restructuring of the business is said to create around 4,500 separate jobs in its online operations and ASDA commented that they will look to transfer staff whom have been hit by potential cuts in other areas of the business.

ASDA stated that those who may be facing potential job cuts were most likely to be employees working in store, including 800 workers at its Dartford and Heston home shopping centres, both of which are expected to close.

They added that around 1,100 of its store management roles will also be affected by the restructure as some management roles will soon be focused on supporting online grocery operations.

Asda’s chief executive and president, Roger Burnley said:

“Our plans to transform the business will result in more roles being created than those we propose to remove and our absolute aim is to ensure as many colleagues as possible stay with us, as well as creating the opportunity to welcome new people to our business.”

If you or someone you know have been effected by the subject discussed in this blog then our specialist team of employment lawyers can support you through the redundancy process, ensuring that the process you are being subjected to is fair and reasonable.