Woolworths to offshore corporate jobs to slash costs
Woolworths (ASX:WOW) is set to offshore hundreds of white-collar corporate jobs across finance, human resources, and IT in a major bid to slash costs and battle rising competition.
The nation’s largest grocery retailer, which employs roughly 10,000 corporate staff, will begin consultations with affected employees on June 10.
While a spokesperson declined to confirm the exact number of redundancies, the IT division is expected to bear the brunt of the restructure.
The roles will reportedly transition to Woolworths' existing global capability hubs, which include facilities in India and the Philippines.
Chief Executive Amanda Bardwell is under immense pressure to streamline operations, having already stripped $400 million in costs over the past year.
The shift comes as cash-strapped households, battered by high interest rates and inflationary pressures, increasingly ditch traditional supermarkets for cheaper rivals like Aldi, Costco, and Amazon.
Amazon, in particular, has aggressively eaten into Woolworths' profit margins by capturing online market share for everyday consumer essentials.
Furthermore, supply chain disruptions and soaring fuel costs have triggered a wave of price-hike requests from farmers and logistics suppliers.
Following a federal enquiry into alleged price gouging, Woolworths is currently defending a Federal Court case brought by the Australian Competition and Consumer Commission over claims of misleading discount marketing.
