Asda is planning significant job cuts, raising concerns due to lack of consultation.
- 500 roles were eliminated without a mandatory 45-day consultation earlier this month.
- Further redundancies are expected to impact staff on Asda’s Future program.
- The Future program involves replacing legacy systems with cloud-first digital infrastructure.
- Asda’s actions have been met with criticism from labor union GMB.
Supermarket giant Asda is under scrutiny as it plans additional job cuts. These expected redundancies come after the company eliminated 500 positions earlier this month, reportedly without engaging in the standard 45-day consultation period. This has provoked criticism for not adhering to employment protocols, sparking concern among employees and unions alike.
The next wave of job losses at Asda is projected to affect a significant number of employees involved in the company’s ambitious Future program. This initiative aims to overhaul legacy systems inherited from former parent company Walmart, transitioning to a new cloud-first infrastructure. The completion of this digital transformation is targeted for early 2025, suggesting ongoing changes at the retail giant.
Despite the backlash, Asda chairman Lord Stuart Rose has defended the company’s actions. He stated that affected employees were offered compensation packages that were more generous than what is typically available following the usual consultation process. This statement aims to mitigate some of the criticism directed towards the company’s recent decisions.
The GMB Union has been vocal in its disapproval, highlighting the lack of consultation as a breach of employment laws. Their stance reflects broader concerns over corporate restructuring efforts that prioritize efficiency over transparent communication with workers. Drapers, a publication covering industry news, has reached out to Asda for further comments, underscoring the widespread attention this issue has garnered.
Asda’s recent actions regarding job cuts highlight significant tension between corporate strategy and employee welfare.
