The Co-op has blamed the current “tough trading environment” as it unveiled plans to axe 400 roles at its Manchester head office

Co-p store sign

The majority of the redundancies will be in its customer support centre team, based at its Angel Square headquarters in Manchester. 

A spokeswoman for the Co-op said the roles were being cut with a “heavy heart” and the retailer blamed surging costs and the ongoing trading environment for the need to take action. 

At our last set of annual results, we shared that making Co-op more efficient and cost-effective was a priority. The tough trading environment, including rising inflation, means we have taken the difficult decision to bring forward some of the changes we had planned for 2023,” the spokeswoman said.

“These changes, designed to simplify our approach to business, will sadly mean a number of colleagues in central functions will leave the business. There are no changes to customer-facing roles in our food stores and funeral homes and, where possible, we will reduce roles by not filling vacancies and through preferences to exit.

“We make these changes with a heavy heart, but it is the right thing to do for the long-term health of our Co-op and for all of our members.”

C-store retailer and wholesaler Nisa, which is owned by the Co-op, is also struggling to manage surging costs. Nisa has begun a review that it said could lead to redundancies across the business. 

While Nisa would not go into detail about a timeframe for the process or which functions would be affected, it pointed to spiralling costs as the reason behind the review.

A spokeswoman said: “We are carrying out a review to lower our costs, in order to offer greater support to our partners and their customers during the current cost-of-living crisis.

“Unfortunately, the review will include a consultation on potential redundancy for some employees. We recognise this is a difficult time for so many and we are seeking to approach the review accordingly while recognising the realities of the current economic climate.”

  • Get the latest grocery news and analysis straight to your inbox – sign up for our weekly newsletter