There is panic again in the tech world! Ocado Group is going to furlough 1,000 employees, know the reason:

London/Business Desk. Amidst the global recession and rising costs, another big tech giant has announced layoffs. Britain’s famous supermarket technology company Ocado Group PLC has taken a big decision to cut its expenses. According to latest reports, the company is planning to lay off around 1,000 employees from its global workforce. This figure is approximately 5 percent of the company’s total workforce. This decision has created a stir not only within the company but throughout the global retail technology industry.

‘Hammer’ of layoffs for the third consecutive year

This news is no less than a big shock for Ocado employees, because the company has been continuously reducing the workforce for the last three years. Earlier in the year 2023-24, the company had eliminated 1,000 posts, while in 2025 also 500 people were removed from the technology and finance departments. Now the sword of retrenchment hangs over 1,000 more people in the beginning of 2026. The company says that this step is being taken to achieve the goal of ‘long-term success’ and ‘positive cash flow’.

These departments will be worst affected

According to British media reports, this retrenchment process may start from this month itself. Its biggest center will be the company’s UK headquarters. The positions affected primarily include engineers in the technology sector as well as back-office departments such as legal, finance and human resources (HR). The company, however, has clarified that the affected employees will be contacted directly and they will be provided all possible support during this difficult time.

Robotic warehouse technology suffered a major setback

Ocado, established in the year 2000, made its mark all over the world through ‘Robot-Operated Warehouse’ technology. The company provides its services to giants like Marks & Spencer. But recently two large customers in North America have decided to close several automated facilities due to cost and efficiency concerns. Although Ocado will receive millions of dollars in compensation from the closure of these warehouses, it has suffered a major setback to its dreams of transforming the global supermarket industry through robots.

Tough decision taken before financial results

The surprising thing is that this announcement of layoffs has been made just two weeks before the company’s annual business results are announced. Ocado is scheduled to report its financial reports on 26 February 2026. Only last month, the company had expressed hope that it would reach profitable position by the next financial year. Now it will be interesting to see how investors and the market view Ocado after this massive layoff.