Ocado has announced intentions to eliminate approximately 1,000 positions as part of a broader initiative to cut costs by around £150 million. The online grocery retailer stated that the workforce reduction will impact roughly 5% of its employees, with the majority of the job cuts affecting its UK branches, including the Ocado headquarters in Hatfield, Hertfordshire. The company plans to streamline its operations by integrating Ocado Solutions and Ocado Intelligent Automation into a single unit, scaling back research and development efforts.
The job cuts will not affect the Ocado retail division. Despite the downsizing, Ocado reported a substantial increase in profits in its latest financial results. The company’s group revenue rose by 12.1% to £1.36 billion for the fiscal year ending on November 30, 2025, with adjusted EBITDA climbing by 59% to £178 million.
Tim Steiner, the CEO of Ocado, emphasized the company’s focus on areas that generate value for Ocado and its partners through ongoing research and development investments. He highlighted the need to simplify the operating model and commercial strategy as the company expands into multiple international markets after the expiration of exclusivity agreements. Steiner expressed regret over the necessity to reduce roles but acknowledged the contributions of affected employees, pledging support throughout the transition.
Established in 2000 by Tim Steiner, Jason Gissing, and Jonathan Faiman, former Goldman Sachs employees, Ocado offers a wide range of products, including approximately 50,000 items and its own brand, alongside popular brands like M&S food.
To enhance your news experience, designate Daily Mirror as a ‘Preferred Source’ on Google News.