Coles plans 1,000 local job cuts in Accenture deal
- Coles has expanded its multi-year agreement with Accenture to outsource up to 1000 back-office roles in India.
- The move aims to cut corporate overhead costs as market pressure from international online retailers intensifies.
- Coles stated that global technical expertise is required to scale up its digital customer offerings rapidly.
Coles (ASX:COL) has entered an expanded agreement with Accenture to outsource up to 1000 Australian back-office roles in India.
The decision follows a similar move by competitor Woolworths (ASX:WOW), which recently shifted hundreds of corporate positions offshore.
"To meet our customers’ growing expectations for seamless, personalised, digital experiences, Coles needs access to the global skills and resources essential to delivering those experiences," according to a spokesman for Coles.
The multi-year agreement worth hundreds of millions of dollars will affect marketing, finance, human resources, and technology departments.
Following the announcement, the Coles share price was unchanged at $24.36 as the enterprise works to expand its digital capabilities.
The supermarket giant faces increased competition from Amazon, which recently announced a $750 million robotic fulfilment centre in Queensland.
Accenture is also negotiating a similar corporate outsourcing arrangement with Qantas to move up to 1000 back-office positions.
