ASDA said that over 4,000 managerial roles are at risk as it reduces back office jobs in order to create more customer facing roles.
The Leeds-based grocer, which also announced a return to growth after a strong Easter, said 4,100 department manager roles are at risk, but 1,500 new managerial roles will be created.
This will leave 2,600 “displaced” managers who will be offered the role of section leader – traditionally a pay grade down from department manager.
As part of the plans an additional 3,500 new section leader jobs will be created, which Asda said would result in an additional 900 staff on the shop floor.
Asda has been trialling its new model in 20 “hothouse” stores.
Chief executive Andy Clarke said: “These 20 stores are performing ahead of expectations. With these changes we’re putting more colleagues in front of customers.
“Customers will get an even better experience in stores.”
The section leaders will help cope with the increase in the number of shoppers who are opting for click and collect over traditional supermarket shopping.
Asda said it is not yet clear how many people will leave the company as a result of the changes.
It started a 12 week consultation period with staff at 11am yesterday.
Any job losses are likely to be felt more strongly in Asda’s heartlands in the north as it has more stores here.
Asda’s chief operations officer Mark Ibbotson said the changes came about as the jobs that staff were doing five years ago, when the group only operated stores and a small online business, are not the jobs they are doing today.
Last month Asda won praise from David Cameron after announcing plans to create 12,000 jobs over the next five years.
The Prime Minister said the move would “give people financial security for the future”.
Doug McMillon, president and chief executive of Asda’s US parent company, Walmart, said the supermarket was “creating more new jobs and bringing real value to more customers in the UK”.