Asda is mandating that head office employees work on-site at least three days a week, while also announcing job cuts to streamline operations and stabilise its market position.

The changes, communicated in an internal email by interim CEO Lord Rose, affect over 5,000 staff across Leeds and Leicester, taking effect from January 2025.

Since Asda’s £6.8 billion sale to the Issa brothers and TDR Capital in 2021, the supermarket’s market share has dropped from 14.6% to 12.6%, losing ground to Tesco and Sainsbury’s. The decision to reduce remote working aligns Asda with its competitors and aims to foster a more collaborative and responsive work culture.

In addition to the shift in its working policy, Asda will eliminate certain head office roles to “remove duplication and simplify structures,” though the retailer has not specified the number of positions affected.

Lord Rose, who took interim leadership after Mohsin Issa stepped down, aims to revitalise Asda’s performance with support from TDR partner Rob Hattrell. A permanent CEO search, led by recruitment firm Spencer Stuart, is ongoing, though the role reportedly presents challenges in attracting candidates given Asda’s current performance struggles.

Jamie Young

Jamie is a seasoned business journalist and Senior Reporter at Business Matters, bringing over a decade of experience in UK SME business reporting. Jamie holds a degree in Business Administration and regularly participates in industry conferences and workshops to stay at the forefront of emerging trends. When not reporting on the latest business developments, Jamie is passionate about mentoring up-and-coming journalists and entrepreneurs, sharing their wealth of knowledge to inspire the next generation of business leaders.