UK grocer Sainsbury’s has announced a major restructure of its logistics operations in a move which will impact around 7,000 staff across the UK.

The company has historically had different contracts for different products across different locations, but will now streamline this process. Instead of the range of contracts it has now, it will have standalone contracts with three different logistics firms, with each handling one category of food, transport, and general merchandise and clothing by 2024.

Sainsbury’s said that 3,000 of its staff will transfer to one of the three logistics companies: DHL Wincanton and GXO Logistics. A further 4,000 staff who currently work for one of the three will move to another partner business, the company said.

None of the impacted staff will get moved to worse contractual terms, and none will have to move to a new place of work.

The supermarket said that the transition would lead to better service and availability for customers.

Commenting on the news, Sainsbury’s chief executive officer Simon Roberts said: “We believe our logistics and fulfilment operation will be one of our key competitive advantages in the future and today’s announcement will benefit our whole network through knowledge sharing and increased innovation.

“We’re confident that these changes will help us continue to invest where it will make the most impact for customers, now and in the future.”

The company this week also announced a shakeup of its Nectar loyalty programme to offer lower prices on around 300 items for its 18 million users.

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