Redundancies at Woolworths? Why?
Woolworths staff ‘anxious, scared’ about restructure
Woolworths staff are feeling anxious and scared about a proposed restructure for the supermarket chain’s workforce, the union representing them says.
Woolworths says it is consulting with staff on proposed changes to its store operating model.
“Our customers are looking to us to improve their shopping experience, and we believe that our proposed model would put the right expertise in the right place at the right time to do exactly that. It would mean more team on the store floor helping customers, ensuring the products they need are on the shelves, and improving our overall service and experience when they shop with us,” a spokesperson said.
Blah, blah, blah – what does it mean?
A slide to explain the proposed changes said the idea was to move from working in departments to working “together for customers”.
It said that store leaders said the current model made it difficult to run shops efficiently.
Each shop would have the same number of staff but they would be more focused on customers. Woolworths said more than half the staff in the trial had felt it was an improvement.
But staff told media that there were fears that managers could lose their jobs and have their roles combined depending on the size of each supermarket.
First Union national retail organiser Ross Lampert said there were fears that it could mean a pay cut for some staff. He said many people were affected, including store management.
…right, you are going to gut management and force them to be on the shop floor to stock shelves rather than managing staff.
Charming.
I have grown to despise the Supermarket Duopoly in this country and the immense unchecked power they have.
- The price gouging at a time of cost of living crisis.
- The PacknSave stand over tactics to bribe customers for shoplifting.
- The mass surveillance powers they have.
- The cruel manner they treat local suppliers
During Covid we realised how essential these workers were but we quickly forget didn’t we?
Supermarket staff are exploited migrant workers who are lured here by promises of career advancement and they have to constantly be the front line of shoplifting poverty.
Shitting on them while the company turns over billions is outrageous...
Woolworths New Zealand topped $8 billion in food sales during its 2024 financial year but its profits slumped 56%, which the grocery giant attributes to a competitive trading environment and cost of living pressures reducing customer spending.
…these corporations have a phalanx of accountants whose job it is to never make a profit.
Allowing Woolworths to start gutting their workforce while they are given such unchallenged control of our food supply chain is an unfair trade.
They have social obligations that go beyond screwing over every worker for their shareholders.
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“Supermarket staff are exploited migrant workers”
Because unions don’t protect local workers from overimmigration.
Looks like classic labour flexibility to me. Instead of say being in deli all day, you get moved to other tasks-but there are safety implications if that includes butchery, logistics and trolley herding.
Just a money saver for company and stressful for staff who signed on for particular positions. Also for customers will there be more staffed checkouts or just more self checkouts-which are job eaters.
Hope union members lead on this and involve customers.
Turnover is important but the bottom line is what keeps the business afloat . Many companies have gone under by being blinded by high sales and finished up closing down which means no job not just a cut in pay . I hate shopping at Woolworth now due to lack of staff and empty shelves and shop at New World with 2 people that have time to talk on each checkout.
You are correct Trevor. Automated tellers have increased requiring less staff. It’s a way of increasing their margins for greater profit.
NW seem to have both and are so much better than Woolworth. As I cook I find their fresh produce good quality and well priced
Correct again Trevor despite a shop in comparison being $35-$40 more expensive at NW. Unfortunately not everyone can afford that comparison and why PnS is more popular despite the quality.
Something seems to have broken at Countdown since they became Woolworths. We used to always shop at one smaller branch but noticed that all the regular staff seemed to disappear over a few months so we swapped to a NW closer. I went to a different smaller branch near a popular NW near my work just before xmas. I’d popped into that NW and it was packed- the WW was like a war site. Empty both of customers and shelves, one staff member who seemed to be verbally bullying another, the one checkout staff member( who was usually there) looking sad, a traumatized manager(?) packing shelves. I would say it was a branch problem but then went to a different larger one and they seemed like hostage victims too.
Yes it is the Aussie control.
It isn’t the NZ style being introduced.
Don’t blame Aussies – Kiwis who have money go there and those who haven’t still go there and find it a livable place despite their ways that don’t gell with me. We are just a pimple to be squeezed by Oz and the wealthy – and why because we are pimply whiners and bottom feeders that don’t stand up for our country and its culture and values and look after each other. So not better than Oz as I used to think. Not enough people read and act in accordance with things talked about on this blog which could be our saviour, maybe, let’s give it a try!
The Aussies buying Progressive enterprises was the worst thing that could have happened.
Only problem is Foodstuffs are even more ruthless than the Aussies.
As Martyn keeps saying we need an IWI owned food chain now.
Maori have an investment portfolio of $126 billion if there was a good return to be made in the grocery trade I am sure they would have made a move .They own heaps of land that would make ideal sites .
You need to ask why they have not made a move and it boils down to the return is too small .We are a small country spred out thinly with a few major centers. Warehousing and transport of goods is expensive .
Good try at thinking Trevor. Go a bit more deeply and ask why s’mkts from overseas ever came here if there are so many problems.
Take note : Woolworths also own the Fresh Choice South Island Franchise stores which are Franchise owned similar to Foodstuffs New Worlds.
https://theconversation.com/stop-waiting-for-a-foreign-hero-nzs-supermarket-sector-needs-competition-from-within-251910?
The Fresh choice stores could be broken off from Woolworths.
The New Worlds could be broken off from Foodstuffs North and South.
You can guarantee that these moves are not being done with staff and customer interests as top priority.
I suspect this is the start. NZ corporates did not do well last year and they will be looking to cut costs in 2025. Woolworths is probably just the first one to get their head above water and start the process. Spark, Fletchers, Vodafone, Foodstuffs, Bunnings, MITRE 10 etc.
This is a simple consequence of the NZ government reducing spending and contracting the economy in 2024 at rapid speed across multiple sectors all at the same time. We haven’t seen the full ripple out of this yet in the private sector. But it’s coming. Maybe not for the banks – they’re doing okay.