Intermarché Plans Closure of Up to 30 Stores and Impact on Employees
The proposed closures could affect nearly 680 jobs as Intermarché evaluates the economic viability of acquired Casino locations.
Intermarché, the third largest grocery retailer in France, has announced plans to potentially close approximately 30 stores previously owned by Casino, affecting nearly 680 employees.
The company indicated in a statement that 'all commercial operations are currently impossible' for the identified stores.
Representatives of the affected staff have been convened to discuss the economic conditions of these locations, as well as to contemplate their closure.
This development comes 18 months after Intermarché began the acquisition of certain Casino stores, which allowed for the retention of over 10,000 jobs.
However, the retailer has cited that financial equilibrium remains unattainable for a 'limited number of stores', despite efforts made by the cooperative to revitalize these locations.
In line with the potential closures, Intermarché stated that a social and economic committee (CSE) has been convened to address the future of the stores and discuss the support that will be available to the employees affected.
The retailer has pledged to offer individual support to impacted staff and explore various employment opportunities within the group.
The stores under consideration for closure include locations in Millau, Decazeville, Les Pennes-Mirabeau, Lucé, Plonéour-Lanvern, Pont-Saint-Esprit, and others across regions such as Auzeville-Tolosane, Blagnac, and Metz.
Additionally, it was noted that two other stores in Lyon and Boissy-Saint-Léger have already been closed.
Since October 2023, Intermarché has acquired a total of 294 Casino stores, an endeavor that has proved challenging due to the financial struggles of these locations, high rental costs, and a declining customer base attributed to previous management's pricing policies.
Intermarché has justified its proposed closures by pointing to a lack of investment in these stores over recent years, elevated operational costs, and a commercial strategy that failed to retain customers amid increasing competition.
In a previous statement in March, Intermarché characterized the acquisition of the Casino stores as a 'historic operation', which represents 15 years of commercial growth and is projected to generate an additional €3 billion in annual revenue.
As of now, 211 former Casino locations have been transformed into Intermarché stores, while 62 have become Netto, a discount chain.
The remaining 21 stores are set to be divested as required by competition authorities.
The company indicated in a statement that 'all commercial operations are currently impossible' for the identified stores.
Representatives of the affected staff have been convened to discuss the economic conditions of these locations, as well as to contemplate their closure.
This development comes 18 months after Intermarché began the acquisition of certain Casino stores, which allowed for the retention of over 10,000 jobs.
However, the retailer has cited that financial equilibrium remains unattainable for a 'limited number of stores', despite efforts made by the cooperative to revitalize these locations.
In line with the potential closures, Intermarché stated that a social and economic committee (CSE) has been convened to address the future of the stores and discuss the support that will be available to the employees affected.
The retailer has pledged to offer individual support to impacted staff and explore various employment opportunities within the group.
The stores under consideration for closure include locations in Millau, Decazeville, Les Pennes-Mirabeau, Lucé, Plonéour-Lanvern, Pont-Saint-Esprit, and others across regions such as Auzeville-Tolosane, Blagnac, and Metz.
Additionally, it was noted that two other stores in Lyon and Boissy-Saint-Léger have already been closed.
Since October 2023, Intermarché has acquired a total of 294 Casino stores, an endeavor that has proved challenging due to the financial struggles of these locations, high rental costs, and a declining customer base attributed to previous management's pricing policies.
Intermarché has justified its proposed closures by pointing to a lack of investment in these stores over recent years, elevated operational costs, and a commercial strategy that failed to retain customers amid increasing competition.
In a previous statement in March, Intermarché characterized the acquisition of the Casino stores as a 'historic operation', which represents 15 years of commercial growth and is projected to generate an additional €3 billion in annual revenue.
As of now, 211 former Casino locations have been transformed into Intermarché stores, while 62 have become Netto, a discount chain.
The remaining 21 stores are set to be divested as required by competition authorities.
