Retail supermarket giant Coles has announced it will cut 378 permanent and 60 contract jobs from its Melbourne support centre. The job losses come as Coles looks to restructure its support centre to enable further expansion.

Director of Corporate affairs, Alister Jordan, hinted further cuts may still happen. “You can’t have an organization of this size without being constantly under review,” he told reporters.

“It is a difficult day for our entire organization. It’s a very tough decision that’s been made and one that hasn’t been made without all reasonable alternatives considered.”

Coles' Managing director John Durkan. Photo: www.theaustralian.com.au

Coles’ Managing director John Durkan. Photo: www.theaustralian.com.au

In a statement released to the press Coles Managing Director John Durkan said, “The team members affected by this decision have made a significant contribution to Coles and we sincerely thank them for their hard work.”

The current restructuring will facilitate Coles expansion and expected investment of $1.1 billion in 70 new stores. Mr Durkan believed the restructure enabling the expansion would create more than 8000 retail jobs and 8000 construction jobs.

“In Victoria, Coles is investing more than $300 million in 14 new stores in Melbourne and regional Victoria over a three-year period, generating more than 3000 retail and construction jobs.”

He added, “In the next fortnight alone, Coles will open a new store at Kangaroo Flat, in Bendigo, creating 40 new jobs, followed soon after by the opening of a new store at Footscray Plaza, generating 70 jobs.”

“There will also be an additional 70 positions created as Coles expands it financial services.”

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