5,000 ASDA JOBS AT RISK ACROSS THE UK IN RESTRUCTURING PLANS AS LIDL'S EMPIRE GROWS IN SALFORD

This morning Asda revealed that it is to being consultation with its employees as it plans a massive restructuring of its business which could put 5,000 jobs at risk, including 3,000 support jobs.

The proposed cuts would include in areas such as cash management, where there is less work as more people have been increasingly shopping online for groceries.

The company aims to focus more on its online retail and delivery services which have become heavily used during the pandemic.

Asda has increasingly come under pressure from smaller lo-cost supermarkets such as Aldi and Lidl, both of whom are fast becoming a major source of competition. The companies more traditional rivals like Tesco and Sainsburys are having similar problems as more and more people look to cut the cost of their weekly shop.

Lidl is opening two new stores in Salford soon, one on the site of the old Mocha Parade in Lower Broughton and the second at Castle Irwell. The company opened a new store in Winton not too long ago.

The smaller supermarkets were never really considered a threat but with the nations finances under pressure, so are they.

Overall there has been a huge shift to online shopping as people have been forced to social distance but some have cited the current plans by Asda to be a step in the wrong direction as when the country reopens and the pandemic is a footnote in history, they predict people will return to the shops and traditional ways to shop. 

If the shops and services are not there then they will simply go to the ones which are.

Both Lidl and Aldi have seen a boom in shopping in recent months and have even gone so far as to give staff wage increases and bonuses to reflect their increased profits.

Asda chief executive Roger Burnley said:

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"The pandemic has accelerated change across the retail sector especially the shift towards grocery home shopping and our priority is to serve customers in the way they want to shop with us.

"The last 12 months have shown us that businesses have to be prepared to adapt quickly to change and I am incredibly proud of the way we demonstrated our agility and resilience through the pandemic."