Sunita Somvanshi
Morrisons’ average employee headcount declined by almost 5,000 in the year to 26 October 2025, according to the retailer’s latest financial accounts filed with Companies House. The Bradford-headquartered supermarket chain’s workforce fell from 101,144 to 96,232, representing a reduction of 4,912 positions across its operations.
The reduction was distributed across multiple business areas. Store-based roles accounted for the largest share of the decline, with approximately 4,200 fewer employees working in Morrisons supermarkets. Manufacturing saw roughly 500 fewer staff members, while distribution operations recorded a reduction of around 200 workers.
The company stated that the headcount decline did not result from a formalised redundancy programme targeting its store estate. Instead, the reduction primarily reflected the natural attrition of employees who left the business and were not replaced during the period under review.
Morrisons attributed the broader workforce contraction to three specific factors. The closure of its newspaper home delivery operation within convenience retail contributed to job losses. A restructuring of its retail people team led to further reductions. The downsizing of Rathbones, the company’s bakery business, also accounted for a portion of the headcount decline. These actions were presented as components of a multi-year transformation programme designed to improve operational efficiency and reduce costs.
The reduction in headcount comes as the UK grocery sector faces sustained cost pressures. Retailers have contended with rising wage costs, increased energy expenses, and growing competition from discount supermarket operators. Analysis from outlets such as Cruxbuzz has tracked similar cost pressures across the retail sector. Morrisons, like other large grocery chains, operates in an environment characterised by margin pressure and the need to maintain competitive pricing. The cost dynamic faced by supermarkets has been examined in related reporting on worker and convenience-delivery models.
The workforce reductions have particular significance for communities where Morrisons operates as a major local employer. Store-based job losses in multiple locations may affect families and neighbourhoods dependent on employment at the supermarket chain. Manufacturing and distribution site closures or downsizing can have similar localised economic implications. Earlier scrutiny of grocery supply standards, including authenticity testing of supermarket honey, has highlighted the pressures on the UK grocery supply chain.
The figures represent the latest data point in the ongoing structural adjustment occurring across the UK supermarket sector. Large retailers have sought to manage cost bases through workforce optimisation, store portfolio reviews, and operational restructuring as part of multi-year transformation programmes.
