Coles planning to outsource IT: Report
- 02 September, 2014 15:20
Some IT staff will lose their jobs in a round of cuts at Coles' Melbourne head office, according to a media report.
Fairfax Media, citing unnamed sources, today reported that 500-600 jobs would be cut across IT and other back-office functions such as payments and accounts.
The cuts will be announced Wednesday according to the report, which said that the supermarket chain was believed to have plans to outsource its IT department, with some roles sent offshore.
The Coles network, owned by Wesfarmers, comprised 762 supermarkets, 831 liquor stores, 90 hotels and 642 convenience stores as of 30 June this year.
In addition to Coles and Coles Express, the division covers Bi-Lo supermarkets, Liquorland, Vintage Cellars and First Choice Liquor.
Coles reported earnings before interest and taxes of $1.67 billion for the 12 months ending 30 June, an increase of 9.1 per cent compared to the prior financial year.
In its full year results presentation, Wesfarmers noted increasingly competitive market conditions and increased cost pressures for the Coles division.
Coles has been approached for comment.