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Kroger to eliminate 3,000 corporate jobs as it expands AI use, with Smith’s among its brands
Kroger says it will cut 3,000 corporate positions over three years while using artificial intelligence to streamline operations. The company did not outline any Nevada-specific impact; Smith’s is one of its supermarket brands.
Kroger, the parent company of Smith’s, plans to eliminate 3,000 corporate jobs over the next three years as it increases its use of artificial intelligence, the grocery chain said Tuesday, Oct. 13.
CEO Greg Foran told employees in a Monday memo that technology is changing how work is done and that Kroger needs to adopt new capabilities and reduce duplicated work. The company has described its AI strategy as a way to improve the customer experience, make work easier for employees and strengthen business results.
Kroger did not specify which corporate roles would be affected or describe any Nevada-specific impact. The Cincinnati-based company has about 409,000 employees and more than 2,700 stores nationwide, operating under names that include Smith’s, Ralphs, King Soopers and Fred Meyer.
The planned cuts come as grocery chains face competition from Walmart, discount retailers such as Aldi and Lidl, and online sellers including Amazon. Kroger has also been working to improve its digital capabilities under Foran, who became CEO in February after leading Walmart’s U.S. division.
Kroger had sought to merge with Albertsons to strengthen its position against competitors. Federal regulators and the states of Washington and Colorado challenged the deal, arguing it could reduce competition and harm consumers and workers. Judges blocked the merger in 2024. Albertsons later sued Kroger, seeking a $600 million termination fee and other damages; Kroger called the claims baseless.
Kroger shares fell 2.2% to $61.21 in afternoon trading Tuesday. At an earnings call that day, Albertsons CEO Susan Morris also pointed to additional cost-cutting and said the company would take what she called aggressive action on its structure and staffing over the next 12 to 18 months.