Sainsbury's has announced that approximately 300 jobs are at risk as part of a major restructuring of its technology and data functions, affecting both the supermarket and Argos operations. The company plans to consolidate its technology teams into one dedicated unit for Argos and two separate units for Sainsbury's, while head office operations will also be streamlined to reduce duplication and improve decision-making. Employees impacted by the proposals have entered a consultation period, with Sainsbury's currently employing around 140,000 staff across the UK.
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The shake-up is part of the third year of Sainsbury's 'Next Level' strategy, aimed at boosting efficiency and commercial performance. The group emphasised that the changes will allow teams to focus on delivering "great food, brilliant service and fantastic value," while maximising the use of data and technology. As part of the plan, four new regional store director roles will be created for the convenience store network, and Argos will see an overhaul of its delivery model, including the formation of a separate leadership board.
This restructuring follows broader cost-saving measures announced in January 2025, which included over 3,000 job cuts, closure of 61 in-store cafés, and a reduction in senior management roles. The supermarket aims to save £1 billion in operating costs over three years. Sainsbury's move reflects a wider trend in UK retail, with competitors such as Tesco and Ocado also simplifying structures and prioritising digital capabilities to meet growing online demand while keeping costs under control.
Source: www.retailgazette.co.uk
