Sainsburys to cut 300 head office jobs as it restructures tech team and Argos deliveries
sainsburys is putting around 300 head office jobs at risk as it restructures its technology and data functions and overhauls the Argos delivery network, moves the retailer says will create a clearer separation between the supermarket and Argos businesses.
Tech and data roles among the hardest hit
The group said the bulk of the 300 roles at risk are in technology and data, where it is consolidating routine reporting tasks and reorganising teams to give dedicated support to the supermarket and to Argos. Employees impacted by the proposals have entered a consultation period.: “By maximising the power of our data and technology, we’re freeing up our teams to concentrate on what matters most – delivering great food, brilliant service and fantastic value for our customers. ”
the changes affect less than 1% of its roughly 140, 000-strong workforce. The restructure forms part of the third year of the group’s Next Level strategy and follows earlier, larger cuts when the group announced it would reduce more than 3, 000 roles and close 61 in-store cafés, remove patisserie and hot food counters and cut around 20% of senior management roles as it targeted £1bn in operating cost savings over three years.
Argos delivery hubs reworked and new leadership for the chain
The overhaul includes restructuring local Argos delivery hubs so teams work more regular shifts with less overtime and changes to local warehouse teams that support same-day home delivery. delivery driver jobs are not at risk. The plan also creates a separate leadership board for Argos, to be headed by Graham Biggart.
Argos, bought by the group in 2016, has struggled since the Covid pandemic. The group blamed “significant headwinds” — weak consumer confidence, heavy online competition and widespread discounting — for a fall in sales over the all-important Christmas quarter. In the three months to 3 January the supermarket arm increased sales by 3. 4%, while Argos sales fell by 1% in the same period, a performance that has fuelled speculation the group may seek to offload the retailer after an approach from JD. com in the autumn.
Four regional store directors for convenience sites
As part of the reorganisation, the group will create four new regional store director roles focused on its convenience estate — one in the North of England, one in Central England and two in the South — intended to give convenience and supermarket formats clearer leadership lines and speedier response to local feedback. The firm said customers use supermarkets and convenience stores differently, and the leadership changes reflect that split.
Wider push into tech, automation and sector pressures
The retailer said it is investing more in technology to improve efficiency, including AI forecasting tools and warehouse robotics. The business has also consolidated some digital services, integrating its Chop Chop rapid delivery offering into a single main app and decommissioning the standalone Chop Chop app to simplify the customer journey.
Executives framed the changes as part of broader sector moves to control costs amid intense competition: Asda is attempting to turn around its fortunes with price cuts, discount grocers Aldi and Lidl continue to open new outlets, and other retail groups have been adjusting head counts and operations. The group pointed to progress being made on its More Argos, More Often plan and said the changes reflect the scale of the opportunity in general merchandise.
Employees affected by the proposals have now entered a formal consultation period as the retailer begins to implement the changes.
