The company behind retailer Primark and drinks Ovaltine and Twinings is cutting jobs and raising some prices as inflation pushes up its costs. AB Foods (ABF) said it would cut 400 jobs at Primark as part of a drive to simplify the management structure. The group, which has ingredients and agriculture arms, said higher energy and transport cost may push up prices. Despite inflation pressures and Omicron hitting Primark sales, ABF said the group had seen stronger trading. The company said the Primark job changes aimed to "provide clearer accountability, greater flexibility and more management support on the shop floor". Primark, which employs 29,000 staff in total across 191 stores in the UK, said it would be consulting with staff over the next couple of months. Kari Rodgers, Primark retail director for the UK, said: "The changes we're proposing will deliver a simplified and more consistent management structure across all of our stores, provide more opportunities for career progression and offer greater flexibility. However, despite inflationary pressures, Primark will not raise prices for its spring/summer range, ABF's finance chief told reporters. Other retailers have signalled prices increases, including Superdry. Boss Julian Dunkerton said that prices will increase by about 2% due to rising costs.
