Lidl is to close its Walsall warehouse, placing 100 jobs at risk, as it no longer meets its “operational requirements”.
The discounter has entered a consultation period with those impacted by the closure and is offering staff members the option between redundancy or redeployment when it closes in 12 months.
The supermarket said it hoped to redeploy most of the workers at alternative sites, including its Wednesbury warehouse in the West Midlands.
The Walsall facility, which was bought by Lidl in 2008, is 50 years old and no longer considered fit for purpose as the supermarket invests in modernising and expanding its other logistics capabilities.
The supermarket is also creating two new managerial positions in replacement of two existing roles in the teams under a wider logistics restructure.
Lidl said it planned minimal change in overall headcount and was offering the staff members affected a guaranteed interview for the new positions.
Subscribe to Retail Gazette for free
Sign up here to get the latest news straight into your inbox each morning
The supermarket’s spokeswoman told The Grocer: “Since 2008, our Walsall facility has been a key support function for our stores and distribution centres.
“However, the site itself is not purpose-built having been constructed around 50 years ago and, with multiple buildings of varying ages, it is no longer able to meet our operational requirements.
“With regret, we are proposing the closure of this location with a view to consolidating operations within our newer warehouse facilities nearby.
Commenting on the wider logistics restructuring, she added: “We have recently conducted a review of one of the team structures within our warehouses, to ensure our logistics function is set up as effectively as possible for our growing business, whilst also supporting and developing colleagues.
“As a result, we have proposed the creation of two new management positions to improve the ratio of managers to team members. Combined with additional investments in dedicated training packages, this will allow warehouse leaders to commit more time to individual colleagues, supporting both engagement and performance development.
“A small number of colleagues’ roles will be impacted by this change, but we are inviting them to apply for the new positions created and are supporting them through this consultation.”
Lidl unveiled its largest regional distribution centre in Luton last September to serve its growing number of stores in London and the surrounding counties.
Click here to sign up to Retail Gazette‘s free daily email newsletter
