Central Co-op to close three distribution centres, putting 400 jobs at risk

Central Co-op is set to close three of its distribution centres, which will put almost 400 jobs at risk as a result.

The convenience retailer has proposed to shut its distribution centres and garage in Leicester and transfer distribution operations to the Co-operative Group.

Central Co-op has said approval has been reached for it to join the LIDIA network from 2024, which is a national collective distribution and logistics operation owned and operated by the Co-op Group on behalf of its own stores and independent Co-operative stores in the UK.

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“This is devastating news for staff affected by the company’s proposal, our members are deeply concerned about their future employment prospects,” Usdaw national officer, John Gorle said.

“We will now enter into a period of meaningful consultation where Usdaw reps and officials will interrogate the company’s business case for the transfer of distribution operations.”

Accoridng to the trade union, Central Co-op has given “an early commitment” to offer alternative roles to the staff affected within Central Co-op and the Co-operative Group.

Gorle added that Usdaw’s priorities include trying to “avoid redundancies and secure the best support package possible.”

“In the meantime we are providing our members with the advice, support and representation they need during this period of uncertainty.”

Central Co-op chief executive added: “The commitment and experience of our distribution teams is amongst the best in the logistics industry and they do an amazing job keeping our shops running.

“As we grow and invest in the Society to support communities, we need to be ready for the future and we have now outgrown our current distribution facilities.

I know this is going to be a difficult time for some of our colleagues and our priority will be supporting them and we are able to offer them alternative roles, either within Central Co-op or the LIDIA network.”

This comes as Central Co-op revealed last week that its annual Christmas Toy Appeal collected over 7,000 gifts for children in need during December 2022.

Having taken place across all of Central Co-op’s 248 food stores and 179 funeral homes, with an additional visit from a festive truck to six locations, the appeal ran from 4 November to 2 December.