Supermarket giant Morrisons is reportedly planning to shut 100 of its loss-making convenience stores, attributing the decision to mounting cost pressures caused by "government policy". The outlets set for closure have all been unprofitable for several years, according to the Financial Times.
Details of the Closures
Specific details regarding the stores earmarked for closure, the number of staff who may be impacted, or the precise government policies in question were not immediately available. However, the move comes at a time when many retailers are grappling with rising operational expenses, including increased minimum wages and last year's national insurance rate hike. Morrisons was not immediately available for comment.
Impact on Workforce
The retailer operates approximately 1,700 convenience shops alongside its 500 supermarkets, employing around 95,000 people. This latest development follows a recent consultation over job cuts at its Bradford head office, affecting less than 10 per cent of staff there. Morrisons has also previously closed various cafes, florists, fresh food counters, and some convenience stores as part of a wider shake-up that resulted in hundreds of job losses.
Industry analysts suggest that the convenience store sector is under significant pressure due to rising costs and changing consumer habits. The closure of these outlets could signal a strategic shift for Morrisons, focusing more on its larger supermarket formats and online operations.
