Kroger Cuts 3000 Corporate Jobs Over Three Years

Kroger plans to cut approximately 3,000 corporate jobs over the next three years as the grocery company restructures its workforce to reduce overhead, improve efficiency and redirect resources toward customers and store operations.

According to a memo shared with Grocery Dive, CEO Greg Foran said affected employees will receive information about impacted roles in the coming months. The company did not specify which departments will face reductions.

Foran described the current structure as too complex and said technology will help reduce duplicated work across the organization.

"We have more layers, more handoffs and more overhead than we need," said Greg Foran, CEO.

Foran has focused on making Kroger more competitive by lowering prices and improving the shopping experience since becoming CEO in February. The company has also adjusted its executive team with new leadership roles in e-commerce, store operations, people and data.

"Our business is becoming leaner, more focused and more competitive," said Greg Foran, CEO.

"We are working to be more agile; more precise in our execution; and deliver benefits to our customers, associates and our shareholders," said Greg Foran, CEO.

The CEO said the workforce changes are part of efforts to simplify operations while continuing investments in employees and customer service. Recent market data cited by Grocery Dive showed Kroger's share declined as value-focused competitors gained ground.

"We have the opportunity to make changes that will create broader roles and faster decision making," said Greg Foran, CEO.

Foran linked the restructuring to moving resources closer to shoppers and improving decision speed across the company.

"This lets us move vital resources closer to the customer to lower prices, invest in our associates and create a better shopping experience," said Greg Foran, CEO.

Kroger is also facing legal action from Albertsons over their failed merger. The trial is scheduled to begin Oct. 19 in Delaware, with Albertsons seeking at least $8 billion in damages that Kroger disputes.