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Asda set to chop as much as 1,000 jobs as UK grocery store chain brings in additional robots

Asda is set to cut up to 1,000 jobs as it accelerates the use of automation and robotics across its warehouse operations as part of a major restructuring of its logistics network

Asda is poised to axe up to 1,000 positions as it speeds up the deployment of automation and robotics throughout its warehouse operations. The supermarket chain is plotting a major reorganisation of its logistics network, which will see more positions eliminated or transformed by automated systems, as reported by Need To Know.

The decision forms part of a broader shake-up of Asda’s George clothing online operation, which is being shifted and merged at a single warehouse facility in Derby operated by logistics company DHL.

Approximately 1,250 employees are anticipated to transfer under TUPE regulations; nevertheless, only around 250 positions will be needed at the new site, leaving a substantial number of jobs impacted.

The shake-up will see operations transferred from three distinct distribution centres in Northamptonshire, Staffordshire and the North East.

The alterations come as retailers nationwide increasingly pour money into robotics and automated warehouse technology in an effort to slash costs and boost efficiency.

A spokesperson for Asda said the firm remains committed to helping affected employees through the changeover and investigating alternative positions where feasible.

The GMB union has slammed the proposals, cautioning that the move towards automation is causing substantial job cuts across the industry.

The reorganisation is part of a broader recovery plan at Asda as it seeks to bolster performance and update its operations following a spell of falling market share. In a Reddit thread discussing the news, users flocked to the platform to voice their opinions.

One user commented: “No way this will result in cheaper goods; all it will do is result in more profit.”

Another added: “How many of those robots will be spending their wages in their local community I wonder?”

A third user chimed in: “Robots are going to utterly decimate jobs such as taxi drivers, delivery drivers, warehouse picking/packing, etc. I wouldn’t be surprised if this happens within the next five years.”

Yet another person remarked: “This is what an increase in productivity looks like. This is a good thing.”

One added,: “I’m not sure the people losing their job, or those unable to find one will agree with you.

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“We already know that poverty results in an increase in crime. Put 2 and 2 together and this looks great for the execs and shareholders, and has an awful knock-on effect for everyone else.”

The announcement arrives against the backdrop of a wider trend in the retail sector, with leading supermarket and logistics companies increasingly adopting automation technology in warehouses and distribution centres.