// Tesco will be axing 325 head office jobs as it looks to cut costs after profits plunge 64%
// The grocery giant will be hiring 12,500 seasonal workers for the busy Christmas period
Tesco is set to cut over 300 head office jobs as part of a major shake-up after warning earlier this week that profits would be hit by soaring inflation.
The UK’s biggest retailer, which is aiming to make £500m of savings this year, began a consultation on 325 job cuts in head office and regional management teams in the past fortnight.
This is the latest cost cutting initiative from Tesco, which has also brought in more automated tills and is reducing its number of suppliers.
The news comes as the grocery giant increased hourly-pay pay for the second time this year yesterday as the cost-of-living crunch hits colleagues as well as consumers.
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Tesco said the job cuts would affect office and field-based teams and not those that work in its stores.
A Tesco spokesperson said: “Last month we announced some changes to a small number of roles in our office and regional teams, to ensure our business is as simple and efficient as possible, and so we can continue to invest for our customers.
“This means a reduction of around 325 roles. We currently have over 500 vacancies in our office and will work with colleagues to find alternative roles wherever possible.”
The job cuts come only months after the supermarket cut 1,400 jobs back in February.
Tesco has also confirmed a significant winter recruitment drive, which will see the supermarket hire 12,500 seasonal workers for the busy Christmas period.
The country’s largest supermarket posted a £413m pre-tax profit in its first half, down 64% on the previous year when shoppers flocked to supermarkets amid Covid lockdowns.
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