British supermarket Asda is to start consulting with staff over the potential loss of up to 2,500 jobs next year.
Asda - owned by US retail giant Walmart Inc (NYSE:WMT) – has agreed to a proposed takeover by rival Sainsbury’s (LON:SBRY), which is currently being examined by the UK’s Competition and Markets Authority.
READ: Asda sees second-quarter sales bounce-back as recovery continues ahead of Sainsbury's takeover
"We believe the proposed changes we are consulting on would allow us to do a better job for our customers," Asda said in a statement.
"We also recognise that discussions about potential change aren't easy. If the decision is taken to implement the proposed changes, we would work with our colleagues to look at the potential impact of these proposals on them."
The GMB union, which represents Asda workers, said it would “fight tooth and nail” for every job under threat.
"These proposed redundancies are a hammer blow to Asda workers. The timing of this announcement, in the run-up to Christmas, is doubly appalling,” the GMB’s national officer Gary Carter said in a statement.
"Asda is performing well and is highly profitable because of the hard work of our members, who are the backbone of the company."