Tesco to axe 325 head office jobs - but plans to recruit 12,500 temporary staff for Christmas

Tesco has announced it will axe 325 head office roles but plans to hire thousands of temporary workers to help during the busy Christmas rush.

The jobs being cut are in the firm’s office and regional teams, not its supermarkets. Tesco said it will “work with colleagues to find alternative roles wherever possible.”

Tesco chief executive Ken Murphy also confirmed that the supermarket wants to recruit 12,500 workers over the Christmas period, The Mirror reports.

A Tesco spokesperson said: "Last month we announced some changes to a small number of roles in our office and regional teams, to ensure our business is as simple and efficient as possible, and so we can continue to invest for our customers.

"This means a reduction of around 325 roles. We currently have over 500 vacancies in our office and will work with colleagues to find alternative roles wherever possible."

In February Tesco said more than 1,600 roles were at risk as the supermarket chain axed overnight roles and closed its discount arm Jack’s.

On Wednesday 5 October, Tesco released its six-month results which showed its underlying retail operating profits have fallen by 10%. The firm warned that its annual profits would probably take a hit from inflation and consumers cutting back during the cost of living crisis.

Staff to get pay rise from November

Tesco announced it is giving its staff a pay rise of 20p from 13 November, which means the hourly rate in stores will be £10.30 or £10.98 in London.

The supermarket has also agreed to bring forward pay rise talks to January 2023 after negotiations with union Usdaw.

In addition, the company is also freezing prices on more than 1,000 of its products until next year. Price locks include:

• McCains Home Chips 2.25kg: £4.30
• Robinsons Orange Squash 1L: £1.75
• Ski Strawberry Mouse four pack: £1.10
• Nescafe Original 3-in-1 six sachets: 99p
• Tilda Pure Steamed Basmati Rice 250g: 95p
• Johnson’s Baby Cotton Buds 200 pieces: 95p
• Heinz Baked Beans Snap pots four pack: £2.49

Ken Murphy said: "Customers are seeking out the quality and value of our own brand ranges as they work to make their money go further, whether they are switching from branded products, between categories or cutting back on eating out."

Meanwhile Tesco UK chief executive Jason Tarry added: “We know times are tough for many customers right now, particularly as we head into the winter months.

"We hope this extended price-lock commitment gives our customers the certainty of knowing that over a thousand household favourites will stay at the same great price for months to come – helping them budget when they need it most.”

Tesco is also doubling workers’ Clubcard discounts to 20% from 13 to 19 December. Shoppers will be able to get further offers by using the retailer’s exclusive Clubcard deals, which cover more than 8,000 Tesco products.