A massive restructure of Sainsbury’s logistics operations could affect 7,000 employees.
The supermarket chain says that the adjustment will increase customer service and availability and says there will be no job losses.
As part of the restructuring, the grocery chain will reduce its logistical contracts across transportation, food, and general items and clothes to just three by 2024.
Around 3,000 Sainsbury’s and Argos employees, as well as 4,000 existing third-party personnel, will be transferred to one of the three companies with which it will partner: DHL, Wincanton, and GXO Logistics.
Sainsbury’s stated it will collaborate closely with its colleagues, unions, and partners to assist anyone affected by the changes.
Over the next three years, the supermarket giant wants to invest £220 million in its logistics network to modernise operations, improve its fulfilment proposition, and lower the carbon footprint of its fleet, which will help it meet its carbon reduction targets by 2035.
Sainsbury’s chief executive Simon Roberts said: “We know these are big, bold changes and we have invested a huge amount of time planning this transformation to make sure it is successful.
“We believe our logistics and fulfilment operation will be one of our key competitive advantages in the future and today’s announcement will benefit our whole network through knowledge sharing and increased innovation.
“We’re confident that these changes will help us continue to invest where it will make the most impact for customers, now and in the future.”
Source: Retail Gazette