Ocado has announced intentions to cut approximately 1,000 jobs in a move to save around £150 million. This decision will impact roughly 5% of its workforce, with the majority of layoffs affecting its UK operations, including the Ocado headquarters in Hatfield, Hertfordshire. The company plans to streamline research and development by merging Ocado Solutions and Ocado Intelligent Automation into one division.
The job cuts will not affect the Ocado retail sector. Despite the workforce reduction, Ocado reported a significant increase in profits in its latest financial results. The company achieved a 12.1% rise in group revenue to £1.36 billion for the year ending on November 30, 2025, with adjusted EBITDA climbing by 59% to £178 million.
Ocado’s CEO, Tim Steiner, explained, “Our focus for R&D investment will target areas that offer the most value to Ocado and our partners. We are restructuring parts of our organization to align with our commercial strategy and simplify our operations as we expand into various international markets post-exclusive arrangements.”
He added, “These adjustments are in line with the cost-saving initiatives we have been implementing over recent years. Unfortunately, this means a significant number of positions will be made redundant. We appreciate the contributions of the affected colleagues and will provide support throughout this transition.”
Established in 2000 by Tim Steiner, Jason Gissing, and Jonathan Faiman, former Goldman Sachs employees, Ocado carries approximately 50,000 products, including M&S food products and its own brand range.