SHARE
COPY LINK

BUSINESS

Danish supermarket chain to let staff go due to price rises

Supermarket firm Coop has announced it will release 100 staff in Denmark as a result of the increasing prices of everyday goods.

fakta store in denmark
Fakta is one of the supermarket chains owned by Danish company Coop, which announced redundancies on April 28th. File photo: Niels Ahlmann Olesen/Ritzau Scanpix

The supermarket confirmed the decision in a press statement reported by business media Finans.

The job losses will occur at the company’s central headquarters in Albertslund near Copenhagen.

A change in consumer behaviour resulting from higher product prices is the reason Coop is cutting staff numbers, it said.

The Danish company owns the Fakta, Kvickly and SuperBrugsen supermarket chains in Denmark.

“The situation in Ukraine and the after-effects of corona leave the everyday goods sector facing significant changes,” Coop director Kræn Østergaard Nielsen said in the statement.

“We are seeing increasing prices for transport, energy and foods and that means that the overheads for running Coop as a business must be reduced,” he said.

Coop is focusing on increase demand amongst consumers in Denmark for discount sectors in supermarkets, the company director also said.

The firm has therefore brought forward the launch of its new discount chain Coop 365discount. The new chain will occupy a similar section of the market to Fakta, which is reported to be struggling.

“Everyone is affected by increasing prices. That goes for both Coop and for Danes,” Nielsen said.

“With both defensive and offensive measures such as these, we are better equipped to help Danes to make their household budgets work,” he said.

READ ALSO: Danish supermarkets raise prices of thousands of products

Member comments

Log in here to leave a comment.
Become a Member to leave a comment.

SAS

Scandinavian airline SAS passenger numbers ‘highest since pandemic’

The number of passengers who flew with Scandinavian airline SAS in April was far higher than during the same month in 2021.

Scandinavian airline SAS passenger numbers 'highest since pandemic'

Over 1.5 million flew with SAS last month, around four times as many as in April 2020 when Covid-19 restrictions were still in broad effect.

SAS still has some way to go to return to the number of passengers it registered before spring 2020, the “pre-pandemic” period for the hard-hit industry.

The airline was affected by a pilots’ strike in April 2019 which affected results for that month, but 2.5 million people flew with SAS in April 2018, demonstrating how the airline is still lagging behind earlier years despite the apparent recovery.

“We continue the ramp-up and see the highest number of passengers since March 2020,” president and CEO of SAS Anko van der Werff said in a press statement.

“Looking forward, sales and booking trends are positive for the summer period ahead,” he added.

SAS’ capacity in April was around two-thirds of its capacity in 2018.

“SAS is a bit more restrained in increasing its capacity than many of its competitors,” aviation sector analyst Jacob Pedersen of Sydbank told news wire Ritzau.

The company faces a challenge to make as much profit from its services as it did before the Covid-19 pandemic, according to Pedersen.

“The snapshot image of the trend in April is certainly encouraging but a closer analysis gives less cause for encouragement,” he said.

SHOW COMMENTS