What does Kroger's restructuring mean for Cincinnati?

The news outlet turned to two University of Cincinnati economists for insight on what it could mean for employees in the Queen City and beyond. 

Michael Jones, associate professor of economics at UC's Lindner College of Business, said that pricing pressure from competitors could be playing a role in the decision. 

“When you hear about Kroger specifically, it’s partly due, over the past year or two, particularly to competitive price pressures from low-cost grocers like Walmart and even some upscale grocers like Whole Foods,” Jones said. 

Ben Brennan, senior research associate at the Alpaugh Family Economics Center, said that the restructuring could have a larger impact younger employees. 

“There’s way less entry-level hiring going on,” Brennan told WLWT. “That’s been bad news for younger workers.”

Brennan also indicated that given Kroger’s financial position, it's reasonable to wonder if the use of artificial intelligence is behind some of the job cuts.

Featured image at top of the exterior of a Kroger store. Photo/Andrew Higley/UC Marketing + Brand