America’s oldest retail chain Kroger Co plans to eliminate roughly 3,000 corporate positions over the next three years, marking a sweeping workforce reduction as new Chief Executive Officer Greg Foran moves to overhaul the grocer’s management structure. The cuts represent more than one-third of Kroger’s approximately 8,200 corporate staff, making the restructuring one of the largest corporate employees’ reductions in the supermarket chain’s 143-year history.
The Cincinnati-based grocery giant announced the layoffs to its employees during an all-company call Monday, October 12. In the memo sent to Kroger employees obtained by the Business Courier, CEO Greg Foran wrote that the company’s transformation will result in the company reducing its corporate workforce across multiple functions by about 3,000 roles.
Foran, a former Walmart executive, who joined the retailer in February this year, detailed the turnaround strategy in a memo to employees following a companywide meeting on Monday, October 12. The restructuring comes as America’s largest traditional grocer contends with slowing top-line growth, fierce retail competition, and persistent inflationary pressures impacting consumer spending. The memo outlined plans to eliminate redundant functions across departments while modernizing daily operations. Kroger is increasingly turning to emerging technologies, including artificial intelligence, to automate workflows and drive efficiencies across its corporate network.