EMCC European Monitoring Centre on Change

Tesco

Company/Organisation:
Tesco

Geographic Location

Country: Poland
Location of affected unit(s): Krakow, Warsaw, other locations

Company

Sector: Retail
Wholesale and retail trade; repair of motor vehicles and motorcycles
47.11 - Retail sale in non-specialised stores with food, beverages or tobacco predominating

Employment Effects

Announcement Date: 29-03-2021
Planned Job Reductions min: 1200
Type of Restructuring: Merger/Acquisition
Employment Effect Start: 29-03-2021
Foreseen End Date: 31-03-2022
Direct Dismissals: 1200

Additional Information

The supermarket chain Tesco announced its plans to implement a collective dismissal programme which will cause over 1,200 redundancies in Warsaw and Kraków and shops across Poland within the next 12 months. The company has started a restructuring programme which will affect administrative division (the offices will be closed and replaced by smaller regional units) and selected stores. Additionally, logistics operations at two logistics centres will be reduced. The programme is implemented due to the integration of the Tesco Polska chain with its new owner, Netto Polska, a subsidiary of Salling Group. The conditions of the redundancy programme will be negotiated with the local trade unions.

On 12 March 2021, the Office of Competition and Consumer Protection issued an approval for the acquisition of 301 shops and 2 distribution centres by Salling Group.

Operating in Poland since 1992, the company has over 300 stores across the country. In 2019 and 2020, the company already announced seven other restructuring programmes: January 2019 (1,300 jobs cut), June 2019 (1,480 jobs cut), August 2019 (2,154 jobs cut), September 2019 (2,117 jobs cut) November 2019  (224 jobs cut), February 2020 (380 jobs cut), June 2020 (200 jobs cut) and September 2020 (899 jobs cut).

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