Morrisons to shut dozens of cafes and stores as part of major shake-up
Morrisons will close 52 cafes and 17 stores as well as dozens of meat and fish counters as it continues a massive overhaul of its store operations under boss Rami Baitieh.
It said that 365 workers are at risk of redundancy but the majority of affected workers are expected to be moved into other roles.
The supermarket chain said it was costing more to run the services than it was making from customer spending.
The closures will see it shut down 52 cafes, all 18 market kitchens, 17 Morrisons Daily convenience stores, 13 florists, 35 meat counters, 35 fish counters and four pharmacies.
Mr Baitieh, Morrisons' chief executive, said the changes were a 'necessary part of our plans to renew and reinvigorate' the chain and invest in areas that 'customers really value'.
In most locations, the Morrisons cafe has a 'bright future', but a small number have specific local challenges which made closures 'the only sensible option', Mr Baitieh said.
The chief executive said it was committed to the Market Street model – which offers fresh meals such as pizza, pies and rotisserie chicken for takeaway in some shops – but that parts of it were 'simply uneconomic'.
Some fresh food counters or cafes in shops could be replaced with specialist offers from third-party companies.
'Although these changes are relatively small in the context of the overall scale of the Morrisons business, we do not take lightly the disruption and uncertainty they will cause to some of our colleagues,' he said.
'We will of course take particular care to look after all of them well through the coming changes.'
Morrisons is the UK's fifth largest supermarket, according to data supplied by analysts Kantar, and hires around 95,000 staff across the country.
It was overtaken by Aldi in the rankings in 2022, with the German discounter rival enjoying rapid growth as shoppers took advantage of cheaper prices during the cost of living crisis.
Plans to revive Morrisons have been set in motion, having faced a challenging few years since being taken over by a US private equity firm in a £7bn deal.
It has since benefited from sales growth and taking market share from competitors after growing its loyalty scheme and bringing down some prices.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
South Wales Argus
3 hours ago
- South Wales Argus
Morrisons to revamp UK stores to offer 'farm shop' produce
The chain revealed that it would be undertaking the transition as part of a fresh initiative aiming to entice "amateur home cooks" with fresh produce. Customers can expect products like those found in farm shops, featuring 'superior quality goods and enticing pre-prepared foods such as marinated meats and breaded fish ready for cooking', the Grocer revealed. Andrew Staniland, Morrisons' new trading director, told the Grocer: "The crisper, cleaner look is underscoring our value credentials, together with a tighter focus on customer favourites, some great innovations, and some wonderful new products." The changes are expected to be rolled out in the next few months across all of Morrisons UK stores. Morrisons in Warrington was one of the early stores to experience the revamp, where around 2,500 stock keeping units (SKUs) were replaced by 500 fresh products. SKUs represent individual product lines. The revamp to stores comes as it was revealed earlier this week that Morrisons would be expanding its More Card loyalty scheme to include over 300 big name brands. Those who have a More Card can now earn points shopping via the Morrisons More App or More website, with partners including big brands such as eBay and Just Eat. Recommended reading: Customers need to log into their Morrisons More App or the More website to browse, then click through to a partner retailer and complete their purchase. It also emerged on Wednesday (May 21) that Morrisons had signed an exclusive deal to sponsor the fourth season of Jeremy Clarkson's Amazon Prime hit Clarkson's Farm. Each episode aired in the UK will feature one 10-second ident, which is the only pre-show advert and connects the Morrisons brand to the series.
Belfast Telegraph
3 hours ago
- Belfast Telegraph
NI hotels join compensation action against Booking.com's ‘anti-competitive' practices
The action — involving more than 25 European countries and which could cost millions of euros — follows the judgment by the European Court of Justice (ECJ) on September 19 last year, which found that the platform's parity clauses breached EU competition law. However, has previously said it is unaware of any pending legal action and suggested the case appeared to be based on 'incorrect and misleading' information. 'This is a chance for hoteliers to stand up for their rights, recover financial losses, and promote a fairer online marketplace,' said Janice Gault, Chief Executive of the Northern Ireland Hotels Federation (NIHF). 'This legal action is unprecedented, and the Federation is supporting it on behalf of its members to secure full compensation for hotels affected by anti-competitive practices. 'For over 20 years, the platform's parity clauses have posed serious challenges for the local hotel sector, leading to significant financial harm through inflated commission fees. 'This is not only about exposing unfair business conduct but also about seeking meaningful financial redress.' In 2021, unilaterally terminated corresponding compensation negotiations with the German Hotel Association (IHA) and started legal proceedings against several hundred German hotels before the Amsterdam District Court. An interim result of this (pending) process is the ruling of the European Court of Justice from September 19 2024, which confirmed findings of the German Federal Cartel Office that the platform's parity clauses breached EU competition law. This has resulted in claims for damages for hotels throughout Europe, which are now to be asserted with the class action supported by HOTREC, an umbrella group representing hotels, restaurants and cafes in Europe. The federation said that over the past 20 years, these parity clauses placed Northern Ireland hotels at a significant competitive disadvantage and that they suppressed price competition between and other online platforms, leading to inflated commissions paid by hotels. In addition, the clauses restricted hotels from offering better prices or availability on their own websites, limiting direct sales and autonomy. The federation added that use of anti-competitive parity clauses caused 'substantial financial harm to hotel businesses across Northern Ireland'. Under the general principles of European competition law, hotels in Northern Ireland are entitled to claim compensation from for the financial losses suffered. Affected hotels may also be eligible to recover a significant portion of commissions paid to in any period from 2004 to 2024, plus interest. The NIHF said they are actively working with affected hotels, guest accommodation providers and guesthouses across Northern Ireland to guide them through the next steps in joining the collective legal action against The case will be led and handled by a team of competition lawyers, litigators, and competition economists, who have already successfully achieved the ECJ's judgment last September. The legal claim will be brought before the courts in the Netherlands, with hotels having until July 31 to sign up to the damages litigation. The Irish Hotels Federation is one of dozens around Europe involved in the action. In a statement to RTÉ News last week, said it is 'not aware of any European wide legal action being taken by hotels'. It added that: 'The ECJ judgment relates specifically to questions asked by the Amsterdam District Court in relation to litigation between and some German hotels disputing the legality of price parity clauses in Germany between 2006 and 2016 — the court did not conclude that German parity price clauses were anti-competitive or had an effect on competition. The Amsterdam Court will now need to make a decision specifically on German parity clauses only.'
Daily Mirror
6 hours ago
- Daily Mirror
Chelsea in race to seal TWO transfers and beat FIFA Club World Cup deadline
Chelsea remains in talks to land both Mike Maignan from AC Milan and Borussia Dortmund winger Jamie Gittens and want the duo before their Club World Cup campaign Chelsea are hoping to complete TWO transfers ahead of the Club World Cup - one of which is landing a new goalkeeper in Mike Maignan with talks remaining ongoing with AC Milan. The Blues, like several of the club competing in FIFA's new tournament, are looking to get their business done early. Enzo Maresca wants to bring in a new No.1 and they've targeted the Frenchman but are currently well short of Milan's valuation of the player. They've lodged a new £15million offer which they hope will be enough to sign Maignan, who is about to enter the final 12 months of his contract at the San Siro. Chelsea 's initial £10m valuation of the 29-year-old was nowhere near the £25m Milan ideally want. If a deal can be struck then Maignan will become Chelsea's new first-choice goalkeeper and the player himself has made it known that he wants to move to Stamford Bridge, where several shot stoppers have tried and failed to make the position their own. Chelsea know they are poised to lose one of their goalkeepers with Arsenal closing in on a deal to sign Chelsea's Kepa Arrizabalaga for £5m. The Spaniard is aware that he has no future at Stamford Bridge after several loan spells away - the most recent coming at Bournemouth - and is set for Arsenal in a cut-price deal due to the release clause in his contract. The Blues are also keen and remain in discussions with Borussia Dortmund over Jamie Gittens. The England U21 international could be on the move but the Premier League side know they must do more to tempt the German club after having a £29.5m opening bid rejected - as first reported by the Evening Standard. Gittens, who was once on Chelsea's books as a youngster before leaving to pursue first-team opportunities. Dortmund may ask for as much as £50m for the 20-year-old winger. He is the latest English player to excel at the Bundesliga club after Jadon Sancho and Jude Bellingham both excelled. Chelsea and Dortmund are both competing at the Club World Cup in the United States and have until Tuesday night's transfer deadline to get a deal done if he is to be playing in blue, rather than yellow, come the tournament. On Monday the west London side confirmed the signing of teenage defender Mamadou Sarr, who joins from sister club Strasbourg for a fee of £12m. Maresca's major summer signing thus far is the £30m capture of Liam Delap, who joined from Ipswich.
