CINCINNATI — Kroger said Tuesday it is eliminating fewer than 1,000 corporate jobs as part of a broad shake-up of its U.S. administrative teams. Many of the affected employees are in the grocer’s Technology & Digital division.
Interim CEO Ron Sargent told employees in an internal memo that the cuts are aimed at simplifying the company’s structure and reallocating resources toward priorities that enable Kroger to “run great stores.” He said savings will be redirected toward lowering prices, increasing store staffing hours, and strengthening real estate investments.
The move follows a series of cost-cutting actions this year. In March, Kroger eliminated approximately 200 positions at its data analytics subsidiary, 84.51, as part of the launch of a new e-commerce division led by Chief Digital Officer Yael Cosset. Just weeks earlier, the company reduced other non-store roles across the country.
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These latest layoffs also come on the heels of Kroger’s June announcement that it will shutter about 60 underperforming stores by the end of 2026 while opening 30 new locations. At the same time, the grocer has been making leadership changes in sourcing, private brands, and divisional management to support its “customer-first” strategy.
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The workforce reductions underscore the challenges Kroger faces as it balances investments in e-commerce and store operations, following the collapse of its proposed $24.6 billion merger with Albertsons. The company, which employs more than 400,000 people nationwide, has also navigated leadership turmoil this year after its longtime CEO, Rodney McMullen, abruptly resigned in March.
Despite the turbulence, Kroger reported solid first-quarter results in June, raising its full-year sales outlook after strong gains in pharmacy, digital, and fresh food categories.
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