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The Guardian - UK
The Guardian - UK
Business

Supermarkets don’t create jobs, they destroy them

A member of staff stacks shelves in  Asda
‘Supermarkets exemplify the point at which “efficiency” becomes a cultural evil.’ Photograph: Molly Darlington/Reuters

You report that Asda “is planning to open 300 convenience stores and create 10,000 new jobs in the next four years” (6 December). The truth is that these schemes rarely create jobs; rather, they tend to transfer jobs from existing local economies and reduce their number. This isn’t a controversial assertion – these are the economies of scale by which supermarkets are able to profit and which supermarkets well understand.

In 1998, the National Retail Planning Forum, which at the time was financed by Tesco, Sainsbury’s, Marks & Spencer, Boots and John Lewis, even produced a specially commissioned piece of research which found that, on average, a single new superstore would lead to the net loss of 276 local jobs, even after taking into account the new jobs in the superstore itself.

Supermarkets exemplify the point at which “efficiency” becomes a cultural evil. They achieve “competitive” prices for shoppers at the cost of reduced job opportunities in communities. Please consider the whole system in which any innovation occurs, not just the innovation itself.
Alistair Herbert
Leek, Staffordshire

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