Jobs fear as Tesco axes 43 stores
Thousands will be left fearful for their jobs in the closure of unprofitable sites while Tesco will also abandon its headquarters in Cheshunt in 2016 after more than 40 years, and 49 stores in the pipeline are being cancelled.
Mr Lewis said: "We have some very difficult changes to make. I am very conscious that the consequences of these changes are significant for all stakeholders in our business but we are facing the reality of the situation."
The group has named turnaround specialist Matt Davies, currently boss of Halfords, to lead its UK and Ireland business from June.
HSBC analyst Dave McCarthy said: "This is a positive statement in many respects.
"It shows sales momentum is turning, that Dave Lewis will make bold decisions on all areas of the business, that the balance sheet is being strengthened, that management has been strengthened and that there are no sacred cows with the closure of the Cheshunt head office. It is hard to imagine much better news."
Tesco is not yet disclosing the locations of the 43 stores to close but Mr Lewis revealed that a "significant proportion" would be its Express convenience shops. The sites will be spread across the country. The chief executive would not give any guidance on the scale of the jobs to be lost or whether they were likely to be in the thousands. Head office jobs will also see cuts as overheads are slashed by 30%.
Employees will start to learn over coming months where the axe will fall as Tesco begins consultations with those affected with full details set to be known by April.
Source: dailymail.co.uk
