Morrisons lays off 3,600 workers and closes 17 stores

Morrisons is making significant workforce reductions and store closures as part of a strategic overhaul.

Morrisons cuts thousands of jobs and closes stores in major retail shift

Morrisons, one of the largest supermarket chains in the UK, announced plans to cut over 3,600 jobs and close 17 stores. This reduction reflects a strategic change as the company faces rising financial pressures. The workforce has decreased from 104,819 to 101,144. The closures follow the shutting of more than 50 in-store cafes and multiple food counters earlier this year. Despite these job cuts, Morrisons reported a pre-tax profit of £2.1 billion for the year ending October 27, 2024, recovering from previous losses and showing an increase in sales during the second quarter. Morrisons is also investing in technology, introducing robots to enhance shopping experience and stock management amid these changes.

This recent move by Morrisons underscores a troubling trend in the retail sector, where companies are forced to choose between cutting costs and retaining staff. With the ongoing inflation affecting consumer behavior, Morrisons' shift to prioritize profitability and efficiency, including the closure of underperforming stores, signals a stark reality for many brick-and-mortar retailers. While its investments in technology may position it well against competitors, the significant job losses raise concerns about the long-term impact on employees and communities alike. Morrisons' situation may reflect broader challenges facing the sector as adaptation to changing market dynamics is prioritized over workforce stability.

Highlights

As Morrisons restructures its operations, the future of retail remains uncertain for many employees.