Aldi is consulting on the loss of up to 150 technology roles following 103 redundancies in finance and administration earlier this year. The retailer also eliminated nearly 20 positions among buying directors, marking a significant contraction of its corporate workforce. Store jobs remain untouched, though the company slightly reduced regional manager numbers, affecting a handful of high-paying roles. An affected worker described the cuts as "shortsighted" and claimed that "upper management [are] woefully out of touch with the reality." This internal friction highlights the tension between global efficiency mandates and local employee morale.
Centralisation and outsourcing
The German-owned group is centralising work by reducing local country operations staff. Aldi outsources finance, procurement, and administration roles to India under a deal with Genpact, which helps businesses develop AI technology. Sources report that consultation on payroll redundancies will begin in the coming months. The company recently cut cleaning hours for agency workers at its Atherstone, Warwickshire, head office. A spokesperson stated that adjustments are introduced gradually after consultation periods, with full support provided to affected colleagues. Aldi claims these moves ensure it operates simply and efficiently using its global scale. The firm invested £300m in lowering prices on 900 products in the UK this year.
Stalling growth and peer comparisons
UK sales rose only 0.4% in the 12 weeks to 1 November, according to Worldpanel by Numerator data. Aldi’s market share fell back by 0.1 percentage point year on year during that period. The average unit price dropped by 0.1%, making Aldi the only retailer reducing overall prices then. Traditional supermarkets now match Aldi on key item prices while offering much wider product ranges. Morrisons cut hundreds of head office roles this spring, shortly after Sainsbury’s eliminated 300 jobs in its technology team. Tesco laid off a similar number when changing bakery operations, while Asda said up to 1,000 jobs were at risk from logistics automation this summer. These concurrent reductions indicate a sector-wide push to trim overheads. Aldi faces tougher competition as it struggles to maintain its previous pace of growth. The combination of stagnant sales and aggressive peer restructuring creates a difficult environment for the budget grocer. Management must balance immediate cost savings against long-term customer loyalty in a crowded market.
