The parent company that owns Albertsons, Save-A-Lot and Shaw's brand supermarkets has announced cost reductions that include plans to cut 800 office jobs by the end of February. Meanwhile, another grocery store chain, Bottom Dollar Foods, said it will create 800 jobs when it opens six new outlets in Pennsylvania.
Supervalu Incorporated said the cost-cutting measures will affect positions at its corporate and regional offices at it tries to recover from weaker sales and rising food costs, according to the Wall Street Journal.
"These reductions are necessary to help further strengthen and accelerate Supervalu's business turnaround in a very competitive marketplace," said chief executive and president Craig Herkert.
In Pennsylvania, Bottom Dollar Foods said it will hire an additional 800 workers as it gets ready to open six new grocery stores in the Pittsburgh area.
The discount grocery chain, which offers a double-money back guarantee on all of its private brand products, has already opened seven other stores in the area and said it was looking to fill a void left by the closing of other food stores, including Foodland, during the economic downturn.