Tesco Streamlines Workforce Amid Rising Costs

Tesco, Britain's largest supermarket, plans to cut approximately 400 jobs from its stores and head office to achieve efficiency savings for future investments. This decision is part of a trend, with Sainsbury's also reducing staff numbers amid increased costs due to the new budget's measures.

Tesco, Britain's largest supermarket chain, announced plans to cut around 400 jobs from its stores and headquarters to streamline operations and allocate funds for investment. This move comes in response to rising operational costs following changes in governmental policies.

The company's decision mirrors recent actions taken by Sainsbury's, Britain's second-largest grocery chain, which also plans to reduce its workforce by over 3,000 roles. These reductions are attributed to increased expenses associated with the new Labour government's budget that raised employer social security contributions and the national minimum wage.

Tesco expressed a commitment to minimizing the impact on employees by attempting to place affected staff in other roles, highlighting that there are currently 1,000 vacancies across the business.

(With inputs from agencies.)