Kroger plans to cut about 3,000 roles from its corporate workforce over the next three years to simplify operations.
In a memo to staff that the company shared with Business Insider, CEO Greg Foran said the corporate-level reductions will allow Kroger to invest in frontline workers.
"Our business is becoming leaner, more focused and more competitive," he said.
The former Walmart US CEO took the helm of Kroger earlier this year and has set to work cutting prices and tightening operations over the past several months.
Foran also cited the impact of technology on the century-old company, saying that it merits a close look at where work can be done.
Read the memo from CEO Greg Foran
FROM: Desk of Greg Foran inboxTO: All companyRE: Changes to Our OrganizationWe shared important information on our all-company call today, and we're following up to make sure everyone is aware of the changes ahead.As a company, we have made great progress on many fronts with our customers. We started reducing prices and improving our customer experience in stores and online, and we made investments in simplifying our associates' lives through technology. Our business is becoming leaner, more focused and more competitive. We are working to be more agile; more precise in our execution; and deliver benefits to our customers, associates and our shareholders.This transformation will also result in fewer roles across the company, which means we will reduce our corporate workforce across many functions, by approximately 3,000 roles over the next three years. These reductions will allow us to continue to invest in our frontline associates.These are difficult decisions, and we do not make them lightly. This is the right thing for the company's long-term future. Here's why:- Simplifying our operations is critical. Simplifying means making faster decisions and deploying more resources where they matter most, so that we deliver lower prices and a better experience for our customers. Our company has more layers, more handoffs and more overhead than we need, so we are addressing this issue.
- Technology is reshaping what's possible. The way work gets done is changing across every industry; we must adapt and take advantage of technology. We need to adopt capabilities, reduce duplicative work and look closely at where work is best fit to be done.
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Dominick Reuter is a senior retail reporter for Business Insider, primarily covering Walmart, Target, Costco, and other big box retailers. His stories tend to focus on issues and trends that affect employees and customers, such as affordability challenges and the growing race to provide ultra-fast delivery services on e-commerce orders.Prior to joining BI in 2019, Dominick worked for more than a decade as an independent photojournalist covering a wide range of stories for global wire services and newspapers, including Reuters, the Wall Street Journal, and Agence France-Presse.Dominick studied photojournalism at Boston University and later earned a Masters in business and economics journalism from Columbia University.If you're an employee or customer with a story to share, please contact me via email or text/call/Signal at 646-768-4750.

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