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29/05/2009
Cross-Border Trade Sparks Tesco Cuts
Tesco is to lay off staff at its Republic of Ireland headquarters in Dún Laoghaire - and all because of increasing levels of shoppers heading North.
Around 140 workers are to go following its decision to import more goods directly from the UK rather than sourcing them through Irish suppliers.
It has been reported today that it also tried to 'hide' its new policy of buying directly from UK suppliers and has been spurred into the move by the continuing exodus of shoppers across the border into Northern Ireland.
Ensuring its policy of taking deliveries from UK suppliers 'went unnoticed' was a key objective for the leading multiple, said today's reports.
A contentious Tesco policy document is said to have given the objective as "to deliver an efficient value chain on key categories, that is invisible to the Irish customer and the UK Commercial team, but allows Tesco Ireland to utilise Tesco UK scale in terms of its customer offer and trading terms".
Tesco told suppliers that a change was required because 40% of Irish consumers were "actively shopping" in Northern Ireland.
The document aimed to explain changes in its policy on sourcing branded goods directly from the UK, rather than using local distributors.
Unsurprisingly, Tesco's new policy is reported to have caused outrage among local suppliers who claim they are facing financial ruin - all due to its bid to beat the competition from Northern Ireland.
The company last week unveiled a new cost-cutting strategy at its stores near the Border, involving average price reductions of up to 10%, which it said was aimed at stemming the flow of shoppers heading North.
However, the Irish Times revealed this week that the company makes annual profits of about €250 million in the Republic.
Profit margins in Ireland are 9.3%, significantly higher than in other parts of the group.
(BMcC/JM)
Around 140 workers are to go following its decision to import more goods directly from the UK rather than sourcing them through Irish suppliers.
It has been reported today that it also tried to 'hide' its new policy of buying directly from UK suppliers and has been spurred into the move by the continuing exodus of shoppers across the border into Northern Ireland.
Ensuring its policy of taking deliveries from UK suppliers 'went unnoticed' was a key objective for the leading multiple, said today's reports.
A contentious Tesco policy document is said to have given the objective as "to deliver an efficient value chain on key categories, that is invisible to the Irish customer and the UK Commercial team, but allows Tesco Ireland to utilise Tesco UK scale in terms of its customer offer and trading terms".
Tesco told suppliers that a change was required because 40% of Irish consumers were "actively shopping" in Northern Ireland.
The document aimed to explain changes in its policy on sourcing branded goods directly from the UK, rather than using local distributors.
Unsurprisingly, Tesco's new policy is reported to have caused outrage among local suppliers who claim they are facing financial ruin - all due to its bid to beat the competition from Northern Ireland.
The company last week unveiled a new cost-cutting strategy at its stores near the Border, involving average price reductions of up to 10%, which it said was aimed at stemming the flow of shoppers heading North.
However, the Irish Times revealed this week that the company makes annual profits of about €250 million in the Republic.
Profit margins in Ireland are 9.3%, significantly higher than in other parts of the group.
(BMcC/JM)
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UK's Top Food Store 'Taste-Tests' NI
Top decision makers from the country's largest food retailer, Tesco - including recently retiring Chief Executive Sir Terry Leahy and Richard Brasher, the new Chief Executive for the UK and Republic of Ireland - have experienced local food and drink at a 'showcase' organised by Invest Northern Ireland.
UK's Top Food Store 'Taste-Tests' NI
Top decision makers from the country's largest food retailer, Tesco - including recently retiring Chief Executive Sir Terry Leahy and Richard Brasher, the new Chief Executive for the UK and Republic of Ireland - have experienced local food and drink at a 'showcase' organised by Invest Northern Ireland.
25 November 2015
700 Tesco Drivers To Vote On Strike Action
Over 700 Tesco drivers at distribution hubs in Belfast and Doncaster are to ballot for strike action next week over a pay dispute. The firm announced a pay offer of 0 per cent for 2015 and 1.5 per cent for 2016. The strike vote follows a 91 per cent rejection of the pay offer across the three sites.
700 Tesco Drivers To Vote On Strike Action
Over 700 Tesco drivers at distribution hubs in Belfast and Doncaster are to ballot for strike action next week over a pay dispute. The firm announced a pay offer of 0 per cent for 2015 and 1.5 per cent for 2016. The strike vote follows a 91 per cent rejection of the pay offer across the three sites.
12 January 2011
Ards In Line For Further Retailing Boost
Ards town is to get a new retailing boost with the construction industry enjoying a fillip along the way. A proposal for a multi-million pound mixed-use retail scheme in Newtownards, Co Down was submitted to the Planning Service in late December 2010. If approved, the planned development will encompass some 6.
Ards In Line For Further Retailing Boost
Ards town is to get a new retailing boost with the construction industry enjoying a fillip along the way. A proposal for a multi-million pound mixed-use retail scheme in Newtownards, Co Down was submitted to the Planning Service in late December 2010. If approved, the planned development will encompass some 6.
07 October 2010
Tesco Superstore To Get Underway
Hundreds of construction jobs are expected to be created following full planning approval for a new Tesco superstore. The store will be situated in Newtownards, north Down, on the site of the old Ards Abattoir off the Portaferry Road. The project, which includes a petrol station and parking spaces, will result in the creation of 200 retail jobs.
Tesco Superstore To Get Underway
Hundreds of construction jobs are expected to be created following full planning approval for a new Tesco superstore. The store will be situated in Newtownards, north Down, on the site of the old Ards Abattoir off the Portaferry Road. The project, which includes a petrol station and parking spaces, will result in the creation of 200 retail jobs.
09 September 2005
Mid-Ulster regeneration on course says Minister
The regeneration plan for Lurgan and Portadown area is on course and will begin soon, Social Development Minister David Hanson said today.
Mid-Ulster regeneration on course says Minister
The regeneration plan for Lurgan and Portadown area is on course and will begin soon, Social Development Minister David Hanson said today.
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Northern Ireland WeatherToday:It will be cloudy again throughout the day. Mainly dry in the morning, but patchy drizzle in places, becoming more widespread and persistent in the afternoon. Freshening southwesterly winds. Maximum temperature 12 °C.Tonight:Cloudy with a spell of heavy rain pushing south through late evening and the early hours, followed by some clear spells. Minimum temperature 6 °C.
