UK union Unite has criticised the country’s fifth-largest retailer The Co-operative Group for a decision to revamp its distribution network in the south-west of the country.

The Co-op plans to close two sites and build a new centre, which will be run by logistics giant Norbert Dentressangle.

Unite said the decision was at odds with the “founding principles” of the retailer.

“This is the thin end of the wedge and the slippery slope to privatisation of the Co-op’s services. Clearly, this decision is soiling the Co-op’s 19th century founding principles of mutuality for the common good,” Matt Draper, national officer for retail distribution at Unite, said.

The Co-op will close distribution centres in Chelston and Portbury. A new site will be built in Avonmouth.

Draper added: “The fact that the Co-op has got the privatisation bug is to be deplored. We believe that this will lead to job losses and a diminution in the terms and conditions of those still employed, with no guarantee that the level of service to the local Co-op shops will be maintained. We are asking the Co-op to re-think its decision to outsource this work to a private company – and will be seeking assurances from the Co-op that the jobs, and terms and conditions of our members will not be adversely affected.”

GlobalData Strategic Intelligence

US Tariffs are shifting - will you react or anticipate?

Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.

By GlobalData

The Co-op is believed to be issuing a statement on the changes to its distribution network later today.

Just Food Excellence Awards - Have you nominated?

Nominations are now open for the prestigious Just Food Excellence Awards - one of the industry's most recognised programmes celebrating innovation, leadership, and impact. This is your chance to showcase your achievements, highlight industry advancements, and gain global recognition. Don't miss the opportunity to be honoured among the best - submit your nomination today!

Nominate Now