For the first time in the history of the Golub Corporation: layoffs in Price Chopper's administrative staff. The company has eliminated a total of 80 positions to cut costs and stay competitive.
CEO Jerry Golub, in a statement, says rising costs, especially health care and fuel, have made it more imperative than ever to become as efficient as possible.
The layoffs were spread across a wide variety of departments, including employees at at the Nott St. headquarters and the distribution warehouse in Rotterdam.
No job cuts in any of Price Chopper's 130 stores.
Here's the full statement from Price Chopper CEO Jerry Golub:
Statement From Jerry Golub, President And Chief Executive Officer Price Chopper Supermarkets, on Today's Reduction In Force
"Today is a very challenging day for all of us, as the current business climate has led us to eliminate approximately 80 positions in the company - some through attrition and some with incumbents. The decisions were not made lightly, as we understand the impact that they have on families and communities. We are doing everything possible to ease this transition for our displaced teammates, by way of severance packages, extended benefits and outplacement services.
"Operating a retail business that lives on narrow margins and employs 22,000 people has become increasingly more challenging given today's realities. Skyrocketing health care costs, rising commodity and fuel costs, rising wages, and reduced SNAP benefits, on top of increased competition from a variety of food and non-food businesses that have added food to their mix, have made it more imperative than ever for us to become as efficient as possible in order to best position the company for long-term success. The eliminated positions were management, field, clerical and administrative support in nature. Store-level positions were not impacted, as we continue to focus our energies on elevating the shopping experience for our customers, modernizing our brand and inventing our next generation of stores.
"Despite the difficulty of the decisions implemented today, we are very optimistic about the future of our company and ready to face the challenges that lie ahead. Though painful, these actions serve to better position Price Chopper as we move forward, both strategically and competitively."