Hy-Vee cutting up to 500 more corporate jobs
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Hy-Vee's ad, meant to look like an article, published in the Des Moines Register on April 27. Photo: Jason Clayworth/Axios
Hy-Vee has told up to 500 additional employees that their corporate-level jobs are being eliminated, and offered that they move to retail positions instead.
Driving the news: The West Des Moines-based grocery chain ran a full-page advertisement in newspapers in Midwest cities Wednesday morning, detailing the company's restructuring.
What they're saying: In the ad, designed to appear like a newspaper article, Hy-Vee wrote that the company is shifting its strategy due to to recent economic challenges, like rising inflation, fuel costs and supply chain disruptions.
- Hy-Vee says it will offer incentives and moving bonuses for corporate employees asked to move to retail positions.
Flashback: The grocery retailer, one of the largest employers in Iowa, had announced big plans to expand into new states at the beginning of 2022.
- The move came after CEO Randy Edeker touted the company's "biggest capital budget" ever last year, Progressive Grocer reported.
However, the company's headlines have signaled tribulations more recently.
- Around 100 corporate employees were laid off in March. They were offered jobs inside the stores too. Axios reported the wages may have differed from their original position.
- Edeker criticized those who chose not to take retail jobs in an internal video to employees last month.
- Hy-Vee also announced last week that they are no longer pursuing plans for five new stores in the Twin Cities area.
Of note: Hy-Vee also wrote in the ad Wednesday that it's delaying the construction of its warehouse in Cumming, citing costs.
- In response to a request for comment, Hy-Vee sent Axios the ad on Wednesday, but declined to comment further.
This is a developing story. Check back for details.