Kroger plans 3,000 corporate layoffs as AI push accelerates

Kroger plans to lay off 3,000 corporate employees over the next three years as the supermarket chain increases its use of AI to streamline operations. CEO Greg Foran told employees that technology is reshaping how work gets done and said the company needs to adopt new capabilities, reduce duplicative work and reassess where tasks are best handled.

The Cincinnati-based company recently outlined an AI strategy designed to improve customer experience, make work easier for associates and deliver stronger business results. Kroger is the largest standalone U.S. supermarket chain, with 409,000 employees and more than 2,700 stores under banners including Ralphs, King Soopers, Smith’s and Fred Meyer.

The cuts come as Kroger faces pressure from Walmart, discount chains including Aldi and Lidl, and Amazon. Its proposed merger with Albertsons, announced in 2022, was blocked after the Federal Trade Commission and Washington and Colorado sued in 2024, arguing the deal would reduce competition. Albertsons later sued Kroger, seeking a $600 million termination fee and additional damages, while Kroger called the claims baseless.