The administration of the Federation of Migros Cooperatives (Migros-Genossenschafts-Bundes - MGB) has decided to operate the supermarket business of Migros as an independent, centrally controlled company.
The administrations of the ten regional cooperatives now have until 24 May 2023 to decide, the Swiss company said in a statement.
Upon approval from the regional cooperatives, mixed teams from the MGB and the regional cooperatives will look into the further implementation of measures to set up the new organisation.
In December of last year, the administrations of MGB and the ten regional cooperatives launched a joint project to simplify the supermarket business of Migros and organise it more effectively.
The company added that the move would also allow it offer an 'even better' price-performance ratio to customers in the future.
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The new unit will be a subsidiary of the MGB, managed by its own board of directors and operationally by its own management.
Representatives of the regional cooperatives and the MGB will sit on the board of directors.
The ten regional cooperatives will be responsible for regional market development, operational sales and the sales outlet network.
"With this decision, we have set the course for a successful future for the Migros supermarket business," said Ursula Nold, president of the MGB administration.
"In the coming weeks and months, we will work together on the concrete design of the new organisation, prepare the founding of the new company and make the first personnel decisions," Nold added.
The new supermarket organisation is scheduled to take over operations on 1 January 2024, the company added.
© 2023 European Supermarket Magazine – your source for the latest retail news. Article by Dayeeta Das. Click subscribe to sign up to ESM: European Supermarket Magazine.