Tesco is reportedly planning to close all in-store deli counters, including meat, fish and delicatessen counters, as part of a sweeping cost-cutting initiative that could put thousands of jobs at risk. The move is part of a broader plan to reduce the supermarket chain's cost base by £1.5 billion, according to reports.
The changes would affect most of Tesco's 732 largest stores, with some counters facing complete closure and others having their opening hours cut. In-store bakeries would also be downgraded, and staff canteens replaced with vending machines. Up to 15,000 jobs could be at risk, including those of butchers, fishmongers, bakers and counter staff.
Chief executive Dave Lewis has been under pressure to rebuild profits since the 2014 accounting scandal. Since his appointment, Tesco has implemented successive rounds of job cuts, including the removal of a layer of middle management last year and the closure of its Cardiff call centre, affecting 1,700 and 1,100 employees respectively.
The retail giant, which employs over 300,000 people in the UK, is facing intense competition from discounters Aldi and Lidl. Industry experts warn that removing deli counters could alienate loyal customers who typically spend more. Bryan Roberts of TCC Global noted that while these counters contribute little to sales, they are a key point of difference from discount rivals.
Tesco declined to comment on the specific plans but said: 'We're always looking at ways to run our business more simply and efficiently. Whenever we make changes in our business, colleagues are always the first to know.'
