// Iceland launches a management structure review, putting jobs at risk
// The retailer denied that job losses will take place
// Iceland’s move follows the likes of Asda, Sainsbury’s and Morrisons
Iceland has launched a review of its management structure, in a move that could see “hundreds” of jobs axed.
The review has reportedly started, with a formal consultation process expected to be launched within weeks.
The frozen food retailer denied any plans for “major reductions” across its 25,000-strong UK workforce.
- New Look & Iceland shareholder Brait mulls financial restructuring
- Iceland suppliers’ insurance cover cut amid Brexit concerns
Iceland’s move follows the likes of Asda, Sainsbury’s and Morrisons, revealing restructuring plans since the turn of the year as a result of increased rents, shift to online and pressure from the German discounters Aldi and Lidl.
Last week, Sainsbury’s chief executive Mike Coupe resigned after six years in the role as the Big 4 grocer embarked on another round of job cuts at its head office.
Morrisons is poised to cut 3000 department manager jobs across its stores and replace them with 7000 new hourly-paid roles.
Meanwhile, to add to Iceland’s woes, it is grappling with a £736 million debt pile after a year that saw it inject cash into its The Food Warehouse fascia.
However, Iceland maintained that shop-floor staff will not be affected by the review.