This step follows the retailer’s strategy of lowering prices and simplifying its organization in a bid to reverse a decline in traffic in its stores since 2012. Auchan, known for its large supermarkets and hypermarkets, and with around 54,000 employees in France, has been struggling with growing competition for years – not only from other large chains, but also from the booming online trade.
As a result, a total of 2,389 jobs are to be cut now, spread across various divisions and locations. These plans affect both the head offices and a number of branches in France and represent the largest restructuring of the Group in years.
The plan is to cut 784 jobs in management and administration, while a further 915 jobs are to be lost in the stores. The particularly costly home delivery service is to be completely discontinued – which would affect 224 positions alone. The closure of ten unprofitable locations is also under discussion. This would affect around 466 more jobs.