for this reason will cut about 2,400 jobs

Large French chain Auchan (Alcampo or Dia in Spain) is set to close a dozen stores it considers “unprofitable” in France, the distribution company’s home country. which employs more than 50,000 employees, after poor sales and earnings results in the first half of the year.

In particular, this week Auchan informed staff representatives about the social plan that will be implemented. in France, which is its main source of losses, a plan that would mean the elimination of around 2,400 jobs there, EFE reported.

The final figure will depend on negotiations that begin with unions, although it is already known that one department has been hit hardest by job cuts. They will be the group’s headquarters.

Closing “unprofitable” stores and warehouses

In particular, Auchan stores will also be affected. with a dozen closure and transfer of three hypermarkets (Clermont-Ferrand, Wuippi and Bar-le-Duc) and supermarket (Aurillac).

The activities of Auchan Direct will also cease. for home delivery from three warehouses employing 224 people.

President Guillaume Darras, in statements published by Les Echos, justified the social plan and explained the reason for these closures, transfers and layoffs, indicating as the main reason for personnel costs, which “outperforms our competitors by two points.”

Added to this are the poor results in the first half of this year 2024, in which the company lost almost 1 billion euros and experienced a 4.7% drop in sales. in France. This country, in which Auchan has more than 53,000 employees, accounts for half the turnover of the company, which is present in a dozen countries.

One of the last major ventures of the French distribution group, part of the Mulier family conglomerate (which also includes Decathlon, Leroy Merlin, Boulanger and Kiabi). there was the integration of the Dia network in Spain and Portugal.in total more than 700 stores. Another was the acquisition of 94 establishments of the Casino chain with a total area of ​​353,000 square meters.