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CINCINNATI — The Kroger Co. has announced another round of job cuts, this time affecting approximately 200 employees from its downtown-based data analytics subsidiary, 84.51. The layoffs, disclosed on Thursday, come amid broader restructuring efforts and the formation of a new e-commerce business unit.
Thorvardur de Shong
According to sources who spoke to WCPO, employees were notified of the job losses on March 11, when Kroger revealed the creation of its e-commerce division. Led by Chief Digital Officer Yael Cosset, the new unit aims to unify various teams involved in online customer engagement. While the company has not explicitly linked the layoffs to the restructuring, the timing suggests a connection.
This marks the grocery giant's second wave of layoffs in less than a month. In February, Kroger also announced reductions in non-store positions in Cincinnati and across the country, though the company did not disclose specific figures.
Thorvardur de Shong
The affected unit, 84.51, analyzes customer data gathered from Kroger’s loyalty program. It uses this data to optimize promotions and assist consumer product suppliers in more effectively targeting shoppers. According to The Cincinnati Enquirer, after the layoffs, several software and data engineering professionals from 84.51 updated their LinkedIn profiles to indicate they were seeking new employment.
Kroger framed the job cuts as part of an ongoing efficiency drive.
“As we continue delivering fresh, affordable food to our customers, we are focusing on key priority areas that support our go-to-market strategy,” a company spokesperson said. “As part of this prioritization work, we announced team restructures and a small number of eliminated roles to improve efficiency.”
The layoffs come at a challenging time for Kroger. Earlier this month, longtime CEO Rodney McMullen abruptly resigned following an ethics investigation. Board member and former Staples CEO Ron Sargent stepped in as interim CEO while a nationwide search for a successor was conducted.
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Additionally, Kroger is facing a lawsuit from Albertsons after the collapse of its proposed $24.6 billion merger. Additionally, ongoing financial pressures from inflation and the recent imposition of tariffs on Mexican and Canadian imports are also contributing to the company's financial situation.
Despite these challenges, Sargent has reassured investors that the company’s strategic direction for 2025 remains intact.
“I certainly don’t plan to be a status quo CEO,” Sargent told Wall Street analysts. “But on the other hand, our plans are really solid for 2025, and I’m looking forward to being a part of it.”
Kroger, headquartered in Cincinnati, employs approximately 414,000 workers nationwide, including about 20,000 in the Greater Cincinnati area where its headquarters are located.
