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Asda to cut 300 roles as 4,000 face pay cuts

Asda to cut 300 roles as 4,000 face pay cuts

On this episode of Talking Shop, we are joined by Sammy Allanson, Client Partner Lead for the North of England at business change and transformation specialist Sullivan & Stanley. We break down why the North is one of the UK’s most critical retail growth engines - and why conquering it requires deep local credibility rather than superficial corporate visibility exercises.

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Asda has unveiled a series of change proposals that could place 300 roles at risk across the business, as well as affect the pay of over 4,000 employees.

As part of plans to cut costs, the supermarket is first proposing to replace overnight ambient and frozen shifts in 184 smaller superstores, with ambient products instead restocked between 7pm and midnight, and frozen products between 7am and 1pm. 

The proposed change would mean more staff are on the shop floor during opening hours, and if this proposal goes ahead, it could lead to the removal of up to 211 night shift manager roles and a change to the working patterns of around 4,137 hourly-paid employees. 

Asda said the proposal retains the number of hours available for employees to work in each store, but would see the removal of night shift premium paid to them on top of their existing hourly rate.

As well as the proposed shift changes, Asda is also proposing a 22% reduction in work hours for all 23 in-store Post Office branches following a decline in the number of customers using this service. 

It said four branches will be marginally reducing their opening hours, which would affect 23 salaried Post Office managers and 200 hourly-paid employees.

The supermarket is also proposing to close seven of its 254 in-store pharmacies due to low customer usage, which would affect 48 hourly-paid colleagues and 14 pharmacists.

Ken Towle, Asda’s retail director, said: “The retail sector is evolving at pace and it is vital we review changing customer preferences, along with our own ways of working, to ensure we are operating as efficiently as possible, so that we can continue to invest and grow our business. 

“We are now entering a period of consultation with our colleagues on these proposals. We recognise this will be a difficult time for them and will do all we can to support them through this process.”

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