Retailer Asda plans 7,000 jobs in UK

British food retailer Asda said it would create 7,000 new jobs in its UK operations this year.

British food retailer Asda said it would create 7,000 new jobs in its UK operations this year.

Asda, whose parent company Wal-Mart Stores will report annual results later today, said the new jobs would result from the opening of at least 25 stores and from investment in five existing outlets.

Asda, Britain's second-largest retailer, has been under pressure from J Sainsbury, Britain's third biggest foodseller, which has been eating into its UK market share.

Research firm TNS said earlier this month that Sainsbury's share of the UK market had reached 16.3 per cent, its highest since February 2004, compared with Asda's 16.6 per cent. Tesco remains the clear UK leader with 30.6 per cent, according to TNS.

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Last July, Asda said it was cutting 1,400 middle managers and taking on 2,250 "front-line" staff in a bid to improve customer service and quicken shelf replenishment.

In November Asda said it was creating 2,800 jobs, many in Northern Ireland, as it expands in an attempt to win back market share.