Sainsbury’s has reportedly planned to shut nearly 200 in-store cafes and around 34 hot food counters in April as part of a major shake-up that puts close to 2,000 jobs at risk.
The second-largest supermarket chain of the United Kingdom briefed affected counter and café staff regarding the closure and committed to prioritizing them over vacant roles.
Simon Roberts, the Chief Executive of Sainsbury’s stated that it was a difficult decision to shut the cafes and the company commits to supporting them in any way possible. He added that although it is unnerving for its colleagues, the company must change its business model to ensure it is providing customers the best possible drink and food at affordable prices.
Sainsbury’s stated that over the next year, 30 stores would be replaced by food halls operated by BRG (Boparan Restaurant Group) which owns a brand portfolio including Ed’s Diner, Carluccio’s, and Gourmet Burger Kitchen. The number of Starbucks cafes inside its supermarkets would probably double to 60.
In a similar way of cost-cutting across the supermarket sector with burgeoning inflation, Sainsbury’s stated that 34 of its least popular hot food counters would also shut down. The chain closed its cheese, fresh fish, and meat counters in stores two years ago, which led to the loss of nearly 3,500 jobs.
The grocer will also be reshaping the bakeries across 54 stores. These employees will the consulted to reinstall those affected to other sectors of their store wherever possible.
The retail trade union Usdaw stated that this was devastating news for members impacted by these proposals. Dave Gill, the Usdaw national officer stated that it would be discussing with store managers and looking at the business proposal for the planned changes of the company.
A year ago, Sainsbury’s initiated to examine the reaction of shoppers to a new food hall with the test of The Restaurant Hub in Birmingham.
Source credit:
