British multinational grocery and general merchandise retailer Tesco is planning to cut nearly 10,000 jobs across its operations in an effort to cut costs by £250m annually.
This forms a part of a reorganisation strategy carried out by Tesco CEO Dave Lewis due to challenging market conditions.
The move comes in the wake of Tesco’s previously announced plans to close 43 stores, which will result in 2,000 to 3,000 job cuts, reports The Guardian.
Tesco also plans to shut down its Cheshunt headquarters and restructure its Welwyn Garden City offices, which could lead to 3,000 more job cuts.
As reported in Independent, Tesco is likely to slash middle management jobs at its stores. The affected employees will be offered alternative roles. However, it is not clear if the pay will be same.
Currently, Tesco employs over 15,000 people across 142 stores in Ireland alone and has more than 300,000 staff in total.
Earlier in 2014, Morrisons slashed 2,600 jobs while Asda cut close to 1,360 jobs. Sainsbury’s recently slashed 500 positions.
Tesco anticipates that its trading profits will not exceed £1.4bn in this financial year, down from £3.3bn last year.