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Chronicle Live
National
Catherine Furze

Sainsbury's announces plans to close 200 of its in-store cafés affecting 2,000 staff

Sainsbury’s has announced that it will shut 200 in-store cafés, in a move set to affect 2,000 staff.

The grocery giant is also planning to close hot food counters in 34 of its stores and will change how it runs the bakery sections in 54 stores.

Consultations will be carried out with an undisclosed number of staff regarding the changes.

Go here for the very latest breaking news updates from across the North East

It is the latest in a raft of recent restructuring moves by the retailer as it seeks to keep a lid on rising costs.

The news comes just a month after Tesco announced hundreds of jobs will be lost in more than 300 stores.

Tesco is shutting deli counters in 317 stores and implementing changes to overnight roles and petrol stations in the shake-up.

Staff in all Sainsbury’s cafés were told earlier today 200 sites were planned to be closed in the spring.

It said that workers affected by the closures will be prioritised for vacant roles in stores and will be encouraged to apply for jobs elsewhere in the business.

The supermarket chain appears to be moving towards branded food outlets, with plans to open 30 more restaurant hubs in stores in partnership with Boparan Restaurant Group (BRG), which runs the Caffe Carluccio’s, Gourmet Burger Kitchen, Ed’s Diner and Slim Chickens brands, after a successful trial partnership at Selly Oak, Birmingham.

Plans are also afoot to open 30 Starbucks sites inside Sainsbury's stores.

The remaining 67 in-store cafés will stay open while the company reviews changes to its dining operations.

Sainsbury's has around two dozen stores in the North East, including seven with cafés.

The supermarket chain did not specify the number of jobs impacted by the slimming down of hot food and bakery operations, but the move comes after previous cuts in these areas.

In April last year, Sainsbury’s said 1,200 jobs were at risk from plans to stop baking products in some stores, while it cut around 3,500 jobs due to the closure of fresh meat and fish counters in November 2020.

Simon Roberts, Sainsbury’s chief executive officer, said: “As we go through this period of transition, we have taken the difficult decision to close 200 of our cafés next month.

“We have spoken to all colleagues affected by these changes today and are absolutely committed to supporting them in any way we can during this uncertain time.

“Of course, we understand this is very unsettling for our colleagues, but we must keep adapting our business to make sure we are offering customers the best possible food and drink at affordable prices.

“We are totally focused on improving what we can deliver for our customers and at the same time, working hard to make our business simpler.

“We are really excited about this new customer offer we will be rolling out over the next two to three years across many of our stores.”

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