Carrefours French hypermarkets have suffered in recession

Carrefour's French hypermarkets have suffered in recession

Carrefour is to cut jobs from its hypermarket business in France in a bid to become more competitive in a challenging market for the world's second-largest retailer.

The company has laid out plans to reduce the number of back-office staff from its hypermarket operations.

Reports in France said some 500 jobs will be cut although, when contacted by just-food today (7 June), Carrefour refused to be drawn on the number of employees affected.

"At this stage, we cannot say any more. We are in discussions with employee representatives," the retailer said.

In recent months, Carrefour has battled to overturn consumer opinion that it is more expensive than its competitors. The company has embarked on a series of price-cutting campaigns and marketing pushes that highlight the value offered in its stores.

Carrefour has also focused on the development of its entry-level, own-label range, which – it hopes – will not only improve how consumers think of its value offer but also build loyalty to the Carrefour brand.

However, in April, Carrefour said like-for-like sales at its French hypermarkets fell 1.2% during the first quarter of the year.