Morrisons Job Cuts: 300 Jobs to be lost
Synopsis
Ever since its £7 billion accusation by Clayton, Dubilier & Rice in 2021 things haven’t gone well for supermarket chain Morrisons. Currently being crushed by over £6 billion pounds of debt with no sign…
Ever since its £7 billion accusation by Clayton, Dubilier & Rice in 2021 things haven’t gone well for supermarket chain Morrisons. Currently being crushed by over £6 billion pounds of debt with no sign of reprieve on the horizon. It seems inevitable there will be further Morrisons job cuts. As it shuts cafes, convenience stores and food counters across the UK.
This decision mirrors similar cuts made by rival chain Sainsbury’s and comes amid warnings from major UK retailers. They’ve warned that Labour’s budget, which includes a £25 billion hike in employer national insurance contributions and a 6.7% increase in the national minimum wage, could lead to widespread job losses and price hikes this year.
“An Avalanche of Costs”
On Monday, the supermarket announced plans to shut down 52 cafes, 17 convenience stores, all 18 Market Kitchen hot food counters, 13 florists, 35 meat counters, 35 fish counters, and four pharmacies
The changes will impact many employees,as the company plans to permanently eliminate 365 positions. Most of the job losses will likely result from closing convenience stores
Morrisons' CEO, Rami Baitiéh, has criticized the UK government, saying last year’s budget added to an already overwhelming wave of costs for businesses. Late last year, he urged ministers to address the impact of changes to employer national insurance, the minimum wage hike, and rising business rates, with national insurance changes alone expected to cost Morrisons around £75 million.
Morrisons Job cuts are not surprising as many of its competitors continue to struggle.
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