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Tesco to cull home and clothing team as profits flatten

Tesco has begun a cull of its general merchandise teams just a month after clothing and home director Richard Jones resigned to go to retailer Dunnes.

There are now plans to axe a further 34 people – up to five per cent of positions – who were previously part of the team led by Jones.

The expected job losses come amid one of the most difficult trading periods the supermarket giant has experienced for two decades.

The proposed redundancies are understood to be across its home and clothing teams.

They follow warnings from chief executive Phil Clarke that profit in its British stores in the second half will be ‘broadly flat’.

A Tesco spokesman said: ‘In these difficult economic times we have reviewed a number of office roles to ensure that we are working as efficiently as possible on the things that we know will make a difference for our customers.’

He said there were ‘no current plans’ to extend the staff review across the head office to include its food teams.

Clarke recently spoke at a supermarket industry conference where he complained of ‘a shortage of skills, a shortage of talent’.

Source : Neil Craven -

23 October 2011
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