On-line grocer Ocado has introduced plans to close its oldest distribution centre because it shifts in direction of robotic warehouses, in a transfer that may have an effect on round 2,300 employees.
The group mentioned it is going to shut the location in Hatfield, Hertfordshire, which accounts for a couple of fifth of its buyer orders every week, later this yr.
The orders will as an alternative be shifted to a brand new state-of-the-art automated warehouse in Luton, which is because of open final in 2023.
Ocado has now began session with the two,300 employees based mostly at Hatfield, however mentioned it goals to supply jobs to as a lot of these affected as attainable at close by websites, equivalent to Luton.
We wish to hold as a lot of this expertise and expertise throughout the enterprise as attainable and anticipate to retain a big proportion of colleagues impacted by these modifications
Tim Steiner, Ocado Group
Ocado Group chief government Tim Steiner mentioned: “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 suitable time for us to halt operations at our oldest facility at Hatfield and think about our future choices for the location.”
He added: “We wish to hold as a lot of this expertise and expertise throughout the enterprise as attainable and anticipate to retain a big proportion of colleagues impacted by these modifications, both in our new Luton CFC (buyer fulfilment centre) or throughout our wider UK community.”
