Morrisons plans to cut up to 2,600 jobs as part of a change to its management structure.
The supermrket chain - which employs 126,000 people nationwide - has tried out the new 'layer-lite' structure, and a spokesperson claims it led to better performance.
Dalton Philips, Morrisons' chief executive, told BBC News: 'This is the right time to modernise the way our stores are managed.
'These changes will improve our focus on customers and lead to simpler, smarter ways of working.'
The roles at risk reportedly include in-store department manager and supervisors.
A spokesperson for the retailer added that Morrisons is looking at creating 1,000 jobs in M Local convenience stores, plus 3,000 other positions in new supermarket branches. And the opportunity to work in these 'growing businesses' will be offered to 'displaced colleagues'.
The changes come on the back of Morrisons posting an annual loss of £176 million in the year to February 2014, and a recent 7.1 per cent drop in quarterly sales.
Morrisons has already unveiled its plans for £1 billion worth of price cuts over three years, and launched its online shopping operation - which has yet to be rolled out nationwide - at the start of this year.