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Asda Outsourcing George Deliveries: 1200 Jobs Threatened
21 Jan
Summary
- Hundreds of jobs are at risk due to Asda's operational shake-up.
- The supermarket is outsourcing delivery services for its George clothing brand.
- Asda experienced a 6.5 per cent sales slump over the festive period.
Asda is facing significant operational changes that place hundreds of jobs at risk. The supermarket giant is proposing to outsource the delivery services for its online George clothing brand, a move that directly affects around 1,200 employees. This strategic shift is scheduled to take effect from January 2027, with DHL set to manage the distribution.
This restructuring follows a challenging festive season for Asda, which saw a notable 6.5 per cent decline in sales, according to recent industry data. Trade union GMB has voiced strong concerns, suggesting the outsourcing could be a precursor to a broader divestment of the company by its private-equity owners.
Asda's executive chairman, Allan Leighton, has refuted these claims, emphasizing a commitment to a 'Formula for Growth' strategy and dismissing any suggestions of breaking up the business as 'insulting' to staff. The company maintains its focus on a specific growth plan.
