DIYWEEK.net

500 departmental managers and supervisors enter into a period of consultation as the cash and carry chain "restructures" its workforce.
According to a report in The Grocer, staff will have to reapply for their jobs, with the process likely to result in a number of redundancies and the creation of new roles.

Managers from all 30 of Makro's outlets met at the company's headquarters in Manchester at the beginning of the month to discuss the proposal. Staff were informed of the move and entered into a 90-day consultation period last week.

The company confirmed the move to DIY Week and stressed that it was working closely with trade union USDAW.

A spokesperson for Makro said: "We can confirm we have entered into consultation with some store staff about a proposed restructure at departmental manager and supervisor level. This is part of the process we started last year which, as we announced then, was to ensure we will have a 'fit for purpose' structure to take the business forward."

There are also changes afoot with Makro's pension scheme. The company explained: "We have also started a consultation with members of our defined benefit pension scheme over some proposed changes, but we can confirm we are not proposing to close the scheme... The proposal we have put forward is aimed at achieving a more sustainable and cost-effective benefits package for employees and the business for the future."

The recent proposals may be seen as an attempt by the cash and carry operation to claw back losses of £26.8m as seen in the company's latest available accounts for the year to December 31, 2008. Turnover for the year was down 2.7% to £899.5m, while a gross profit of £9m was recorded - down 35.8% on the previous year's figures.

The spokesperson concluded: "We are working very closely with representatives from USDAW on both proposals. In the interests of staff and the long-term success of the business, Makro and USDAW have committed to ensure all colleagues affected by these proposals have the opportunity to share their point of view and all viable options will be considered."