- 13 Jan 2015 12:00 AM
Recent legislative changes have significantly increased operating costs for major retailers in Hungary and in the future only profitable companies can continue to operate in Hungary. These have made the need for Tesco to review the performance of individual stores more urgent.
Nigel Jones, Hungary CEO said:
“To secure the long-term future and profitability of our Hungarian business for our customers and colleagues, we are now closing 13 of our stores. I truly believe that this decision contributes to secure the future interests of our customers and colleagues.
We remain committed to our business in Hungary and to our customers. We are proud of our ongoing contribution to the Hungarian economy and look forward to continuing to serve our three million customers through our existing stores.
Our first priority is to work with our colleagues in the affected stores and to do everything we can to find them alternative roles in Tesco.”
The closure of the 13 stores will to impact more than 500 colleagues. Tesco today contacted both the Employment Offices and the Trade Unions to inform them about the decision and in 7 days start a consultation process.
Tesco is briefing all affected colleagues on what the closures mean for them.
“Our priority is to do everything we can to find alternative roles within Tesco for as many affected colleagues as possible, where they are flexible on location and role” – added Nigel Jones.
Tesco will close the following stores on 4th February:
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