" Coles, Woolworths Adopt AI Amid Layoffs and Union Calls for Upskilling", 13 August 2025

Australian supermarket giants Coles and Woolworths are rapidly adopting AI and automation, streamlining operations like self-checkouts and inventory management but triggering widespread layoffs amid global trends of 78,000 tech job cuts in 2025. Unions decry ethical concerns and worker displacement, urging upskilling and policy interventions to balance innovation with employment stability.

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Recent reports highlight a surge in layoffs attributed to these technologies, with workers bearing the brunt as companies prioritize efficiency over employment stability. As of mid-2025, the duopoly’s push into AI-driven systems has sparked debates about the future of work in an industry that employs hundreds of thousands.

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In Australia, the impact is particularly acute in retail, where Coles and Woolworths control a dominant market share, making their decisions ripple through the economy.

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Coles has been testing agentic AI for staff leave booking, a system that automates scheduling and reduces administrative roles, as noted in recent industry updates.

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Unions are pushing back, viewing these changes as test cases for AI’s workplace integration. The Conversation highlighted Woolworths’ disputes over wearable tech and monitoring, which speed up work but erode worker autonomy.

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