Ocado has announced plans to cut approximately 1,000 jobs as part of a restructuring programme. If your role is placed at risk, understanding your employment rights under the law of England and Wales is essential.
What has been announced
- Ocado is planning to cut around 1,000 jobs under a restructuring programme announced in February 2026.
- The 1,000 job cuts are reported rather than confirmed across specific business divisions.
- Specific sites and locations affected by the proposals have not yet been stated.
About the company
Ocado is a retail business based in the UK.
What happens next
Where an employer plans 100 or more redundancies at one establishment, UK law requires a collective consultation period of at least 45 days before any dismissals take effect.
For proposals involving 20 to 99 redundancies, the minimum collective consultation period is 30 days.
During collective consultation, staff representatives or union representatives must discuss the proposals with management to explore options to avoid or reduce redundancies.
Employers must also run individual consultation meetings with affected employees to discuss selection, alternative roles, and redundancy terms.
Voluntary or compulsory redundancy
Employers may invite applications for voluntary redundancy to minimise the need for compulsory job losses.
Employees are not obliged to apply for or accept voluntary redundancy terms.
If compulsory redundancies take place, the selection criteria must be objective, measurable, and applied fairly.
Employees with at least two continuous years of service are entitled to statutory redundancy pay, based on their age, length of service, and weekly pay subject to statutory caps.
Your settlement agreement
Ocado may choose to offer settlement agreements to some affected staff members.
A settlement agreement is a binding legal contract under which an employee agrees not to pursue claims against the employer, usually in return for an enhanced financial package.
To make the agreement legally binding, the employee must receive advice from an independent legal adviser.
Employers typically provide a standard financial contribution to cover the cost of obtaining this independent legal advice.
Common questions
How long will the consultation process take?
Because the reported proposal involves 1,000 redundancies, any establishment proposing 100 or more redundancies must hold a collective consultation lasting at least 45 days before any dismissals take effect.
Who qualifies for statutory redundancy pay?
Employees in England and Wales who have at least two years of continuous service with their employer qualify for statutory redundancy pay.
Do I have to accept a settlement agreement?
No. Settlement agreements are voluntary. You can choose whether to negotiate terms, accept the offer, or proceed through the standard redundancy process.
How Deen & Co helps
Deen & Co Solicitors provides clear legal support to employees facing redundancy. We advise on consultation procedures, verify statutory and contractual entitlements, and provide the independent legal advice required for settlement agreements.
Read more about settlement agreement advice or work out your statutory redundancy pay.
Sources
- Ocado to cut 1,000 jobs under restructuring plan - Sky News — Sky News (26 February 2026)
- Ocado to cut 1,000 jobs under restructuring plan - Yahoo Finance UK — Yahoo Finance UK (25 February 2026)
- Ocado considers up to 1,000 job cuts in renewed cost-cutting drive - Business Matters — Business Matters (9 February 2026)
Last updated 15 September 2026. This page summarises publicly reported information and is general guidance, not legal advice on your own situation.
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