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Spain: Auchan closes 25 ‘supers’ and lays off more than 700 people

Image credit: Notícias ao Minuto

The retail sector is undergoing significant transformation, requiring adaptation to new shopping habits that favor smaller, more convenient establishments, explained the retailer, operating in Spain under the name Alcampo, in a press release.

In response, Auchan has decided to reorganize its operations in Spain through a plan that aligns with “new consumer trends,” which will “involve the closure of 25 struggling supermarkets” and “impact 710 employees out of a total of 23,300,” it added.

The retailer, originating from northern France, stated that the locations in question are part of a “batch of 224 supermarkets” acquired in 2023, which included stores that “did not fit its model” or whose “locations were not ideal.”

This “transformation is essential to restore results and ensure sustainable growth in each store,” the French group insisted, while reaffirming its “commitment to continue growing and creating value” in the Spanish market.

The Workers’ Commissions Union (CCOO), informed about the layoff plan, expressed its intention to “address this difficult situation, which is new for the company, with the main objective of maintaining employment.”

“In the event that workers have to leave the company, they should do so under the best possible conditions,” the union insisted.

Auchan, owned by the Mulliez family, has faced significant economic challenges for several years.

This situation has already led the group to announce a major layoff plan at the end of 2024, which involves the closure of facilities and puts 2,400 jobs at risk in France.

Auchan also has operations in Portugal. Notícias ao Minuto is attempting to contact the company to inquire about potential national impacts.

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