Thousands of jobs at risk as Ocado announces warehouse closure | Business News

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Hundreds of jobs are in danger after Ocado introduced plans to shut its oldest distribution centre.

The web grocer says it is going to shut its web site in Hatfield, Hertfordshire, later this yr.

The warehouse handles round a fifth of its buyer orders every week and these will as a substitute be shifted to a brand new state-of-the-art automated warehouse in Luton, which is because of open this yr.

Ocado stated it has began session with the two,300 employees affected however it goals to supply jobs to as lots of them as doable at close by websites, together with the one in Luton.

Ocado Group chief government Tim Steiner stated: “As the web grocery channel grows, our new, enhanced fulfilment centres and applied sciences will drive a step change in buyer expertise and effectivity.

“With this capability coming on-line, now’s the fitting time for us to halt operations at our oldest facility at Hatfield and think about our future choices for the positioning.”

He added: “We need to hold as a lot of this expertise and expertise throughout the enterprise as doable and count on to retain a big proportion of colleagues impacted by these adjustments, both in our new Luton CFC (buyer fulfilment centre) or throughout our wider UK community.”

It comes simply months after Amazon revealed plans to shut three of its warehouses – a choice affecting 1,200 jobs – however open two new main fulfilment centres.

The Amazon websites eyed for closure are in Hemel Hempstead, Doncaster and Gourock, within the west of Scotland.

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