Musgrave Group, the Irish retail giant behind SuperValu and Centra, has announced a proposal to cut as many as 82 back-office roles, placing jobs in finance and human resources at risk. The positions affected are located in Dublin, Cork, and Belfast, with the company now entering a formal consultation period with staff.
Grocery Sector Squeeze Drives Restructuring
The planned redundancies come as food retailers in Ireland grapple with significant cost inflation and heightened price sensitivity among consumers. Musgrave's latest financial results for 2024 showed resilience, with turnover reaching €5.2 billion and pretax profit climbing 5% to €134.5 million. However, the company has cautioned about a more challenging operating environment in early 2025, with grocery inflation recently measured near 7%.
In this competitive landscape—where SuperValu holds approximately 20% market share behind rivals Dunnes Stores and Tesco—companies are seeking operational efficiencies. Back-office functions are often a primary target for such restructuring efforts.
Transition to Infosys Partnership
Musgrave stated the job cuts are part of a broader initiative to reshape its finance and HR operations through an expanded partnership with global technology services firm Infosys. The two companies previously established a seven-year collaboration in early 2024 focused on automating IT operations using artificial intelligence and cloud services.
"This decision is in no way a reflection on the commitment or professionalism of our colleagues," a Musgrave representative emphasized. The company, which employs roughly 12,000 people across Ireland, says the changes will enable continued investment in its retail brands and community presence.
The consultation process may reduce the final number of redundancies through voluntary departures or internal transfers, though compulsory layoffs remain possible if targets aren't met. This announcement follows Musgrave's recent decision to close a Donnybrook Fair store in Dublin, affecting 23 employees.
Political reaction has been swift, with Sinn Féin TD Donnchadh Ó Laoghaire describing the news as "very upsetting and worrying" for workers and calling for engagement with trade unions and state agencies.