25.01.2026 17:31
Belgium-based supermarket chain Colruyt has decided to withdraw from the French market due to rising costs and intense price competition. The company, which is preparing to end its approximately 28 years of operations, is expected to lay off more than 700 employees, even though compensation above the legal limits is anticipated as part of the social plan prepared for workers, while transferring its 105 stores in the country to rival retailers.
The Belgium-based supermarket chain Colruyt has decided to terminate its commercial activities in France. The company stated that it does not find its operations in the country sustainable due to rising costs, shrinking profit margins, and a highly competitive environment, and has initiated the process of divesting a large portion of its stores.
28 YEARS OF OPERATION COMING TO AN END
Colruyt entered the French market in 1998. Over the long period that has passed, the company has tried to establish a permanent position in the market but has not achieved the targeted financial performance. Evaluations made by management emphasized that particularly strict pricing policies and market dynamics have made this situation even more challenging. With the decision taken, Colruyt has entered the process of liquidating its nearly 28-year presence in France.
105 STORES TO BE TRANSFERRED
The company, which has 105 stores across France, plans to transfer the vast majority of these locations to competing retail groups. It is anticipated that 100 stores will be taken over by different chains, a step that will nearly completely end Colruyt's physical presence in the country.
COMPENSATION ABOVE LEGAL LIMITS FOR EMPLOYEES
Simultaneously with the sales process, the company has prepared a social plan covering employees. Colruyt announced that a broad consensus was reached as a result of negotiations with unions and that the compensations to be offered to employees would be above the legal minimum obligations. This plan was later officially approved by the company management.
HUNDREDS OF PEOPLE AT RISK OF UNEMPLOYMENT
According to current forecasts, approximately 2,080 employees are expected to continue their duties within the new companies that will take over the stores. In contrast, if the headquarters located in Rochefort-sur-Nenon near Dole and some logistics units cannot be divested, more than 700 employees are at risk of losing their jobs.