Tesco's 16,000 jobs drive to reward lockdown temps

August 25, 2020

Tesco will create 16,000 new permanent jobs after lockdown led to "exceptional growth" in its online business.

The new posts will include 10,000 staff to pick customer orders from shelves and 3,000 delivery drivers.

 

The recruitment drive reflects the shift to online shopping, which was accelerated by lockdown.

 

Tesco said it expected many of the roles to go to staff who joined them on a temporary basis at the start of the pandemic.

 

Supermarkets scrambled to meet a surge in demand for online deliveries while the UK was in lockdown.

 

Tesco said online customer numbers had risen from around 600,000 at the start of the pandemic, to nearly 1.5 million.

 

Before the pandemic, around 9% of Tesco's sales were online. Now, online sales amount to 16% of sales, and are expected to be worth over £5.5bn this year, the company said.

 

"The crisis has seen a dramatic increase in the size of the online grocery market in the UK," said Clive Black, retail analyst at Shore Capital.

 

"It does not look like, and Tesco UK does not seem to think, it is going to revert back to the pre-coronavirus levels."

 

Tesco UK & Ireland's chief executive Jason Tarry said: "These new roles will help us continue to meet online demand for the long term."

 

Tesco's announcement may sound like welcome relief from the somewhat ominous drip-drip of job cut announcements from retailers, but its real significance is to underline the shift in shopping habits from bricks-and-mortar retailing to online.

 

That shift benefits those with a big online presence, at the cost of the old-fashioned shops that don't.

 

It was already underway before the coronavirus crisis, threatening the viability of small independent retailers and defacing High Streets with boarded up shopfronts and 'To Let' signs. With lockdown, the shift accelerated dramatically, as even the remaining users of the High Street were forced to go online.

 

At first, online retailers like Tesco hedged their bets to meet the surge in demand for online delivery, hiring thousands of workers on temporary contracts.

 

However, now they're offering them permanent jobs it's clear that Tesco's executives believe much of the shift to online during the pandemic will be permanent.

 

Source: BBC News

Please reload

Subscribe to FreshtalkDaily News and never miss a story