Asda to cut 475 jobs and reduce hybrid working


Asda has announced that it will reduce hybrid working and cut 475 roles at the company’s head offices in Leicestershire and Leeds as part of a business restructure. The move will affect less than 10% of the head office staff and will allow the company to “simplify structures” in a challenging market. From January, office attendance will also become compulsory for a minimum of three days per week, according to Lord Rose, the company’s chairman.

The company’s spokesperson said that the changes will result in 475 colleagues being made redundant, and fixed-term contractors working on the IT project will also leave over the next few months. Employees will be required to be present in an Asda office location for a minimum of three days per week from January 2025. Lord Rose said that the changes were necessary to ensure the company was “best placed to meet our long-term ambitions,” adding that the firm was “redefining roles and accountabilities to remove duplication and simplify structures.”

Asda was purchased for £6.8bn in 2020 by billionaire brothers Zuber and Mohsin Issa in a deal backed by equity firm TDR Capital. The company announced last week that TDR Capital had acquired the shares of Zuber Issa, who then resigned from his non-executive role on Asda’s board. TDR Capital now owns 67.5% of Asda, while Mohsin Issa, who stepped back from his executive leadership role in September, owns 22.5%, with the remaining 10% held by Walmart.

The cuts come after the company revealed a 2.2% decline in total revenues, excluding fuel, from April to June 2024, amid challenging market conditions. Asda noted that the changes being communicated were necessary to ensure the company’s long-term success

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