Asda warehouse automation push ‘set to cut 1,000 jobs’

Supermarket chain Asda’s move to automate its warehouse operations could axe 1,000 jobs due to the deployment of robots, ITV has reported.

Asda is relocating its George clothing online operation from three sites in Northamptonshire, Staffordshire and Tyne and Wear to a single site in Derby, which will be operated by logistics company DHL.

The news channel reported that around 1,250 Asda employees are expected to transfer to DHL as part of the changes. However, two weeks ago DHL revealed at a consultation between the companies and the GMB union that only 250 roles would be needed at the new warehouse.

This is due to the Derby site’s use of Redline robots, developed by Norwegian company AutoStore. According to its promotional material, this technology allows for faster order processing by automating the retrieval of products, replacing manual picking by staff.

"A thousand people losing their jobs to be replaced by robots sounds like something from a dystopian sci-fi movie, but the warehouse industry is becoming increasingly automated and it's impossible to stand in the way of progress," Rachelle Wilkins, a national officer for the GMB told ITV.

“Members are now very worried this is the thin end of the wedge. What if Asda does the same thing with its online food shopping network? Thousands of jobs could be lost,” she added.

Asda already uses the robot system at its Magna Park site in Lutterworth.

In late May, the company announced a partnership with Ocado Group to implement its technology and improve operations across its website, app and home delivery service.



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