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Sainsbury's to cut 3,000 jobs and shut cafés Sainsbury's to cut 3,000 jobs and shut cafés
(32 minutes later)
Sainsbury's has announced it will cut 3,000 jobs as it shuts down its remaining cafés and closes its patisserie and pizza counters.Sainsbury's has announced it will cut 3,000 jobs as it shuts down its remaining cafés and closes its patisserie and pizza counters.
The supermarket said the move would "simplify the business", adding that "the majority of Sainsbury's most loyal shoppers do not use the cafés regularly".The supermarket said the move would "simplify the business", adding that "the majority of Sainsbury's most loyal shoppers do not use the cafés regularly".
Sainsbury's also said there would be "an estimated 20% reduction in senior management roles over the next few months".Sainsbury's also said there would be "an estimated 20% reduction in senior management roles over the next few months".
The retailer is in the midst of a plan to make £1bn of cost savings, and chief executive Simon Roberts said the chain had to had to make "tough choices". Chief executive Simon Roberts said the business was facing a "particularly challenging cost environment".
"We are facing into a particularly challenging cost environment," said Mr Roberts. The retailer is in the middle of a plan to cut £1bn worth of costs and the chain had to make "tough choices", said Mr Roberts.
"The decisions we are announcing today are essential to ensure we continue to drive forward our momentum but have also meant some difficult choices impacting our dedicated colleagues in a number of parts of our business. It will shut down its remaining 61 cafés and, as well as pizza and patisserie, will also dispense with its hot food counters.
"We'll be doing everything we can to support anyone impacted by today's announcements." Instead it will make "the most popular items available in the aisle".
A fortnight ago, Sainsbury's said it would raise its average hourly pay by 5% to £12.60. But the wage increase will be introduced in two phases "to help manage a particularly tough cost-inflation environment".