FamilyMart Japan culls staff as store network shrinks
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FamilyMart Japan is reducing its operational costs by letting go 800 employees.
The redundancies equate to about one in 10 of the convenience-store operator’s total staff count, and will be offered with severance packages for volunteers who opt to leave the firm. Moves will also be made to allow the brand’s franchisees to operate shorter opening hours.
“We got bigger after the repeated consolidations, but we have yet to streamline,” said FamilyMart Japan president Takashi Sawada in a Nikkei report. “Even if there isn’t an agreement with the home office, we will respond in accordance with the intent of what member stores decide.”
The staff cuts follow a gradual reduction in outlets from 18,000 in 2016 to 16,500 this year.
Questions & Answers
Q.How many employees will FamilyMart Japan be letting go?
How many employees will FamilyMart Japan be letting go?
FamilyMart Japan plans to reduce its workforce by 800 employees. This figure represents approximately one in ten of the convenience-store operator's total staff count.
Q.Are these staff reductions compulsory or voluntary?
Are these staff reductions compulsory or voluntary?
The staff reductions will be offered as voluntary redundancies. Employees who choose to leave the firm will be provided with severance packages as part of the process.
Q.Has FamilyMart Japan's number of stores changed recently?
Has FamilyMart Japan's number of stores changed recently?
Yes, there has been a gradual reduction in store numbers. FamilyMart Japan's outlets have decreased from 18,000 in 2016 to 16,500 this year.
Q.What other changes are being made to operations?
What other changes are being made to operations?
Beyond staff cuts, FamilyMart Japan will also allow its franchisees to operate with shorter opening hours. This is another measure to reduce operational costs for the business.
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