Migros plans major restructuring to merge regional cooperatives

Swiss retail giant Migros has announced a historic plan to merge its ten regional cooperatives and the Migros Cooperative Union (MGB) into a single national group cooperative. The restructuring aims to simplify the company’s complex leadership hierarchy, eliminate redundancies, and increase competitiveness against rivals like Aldi and Lidl.

The new structure will serve as an umbrella organization for seven independently operating business units, including Denner, Digitec Galaxus, and Migros Bank. While the supermarket business will be managed centrally, the company intends to maintain regionality through six regional councils and the continued use of the ‘Aus der Region. Für die Region.’ label.

Financial estimates suggest the merger could save between 300 and 400 million Swiss francs annually. While the company has promised no organizational layoffs in regional cooperatives until mid-2028, media reports suggest up to 3,000 administrative positions could be affected. The proposal requires approval from the 2.3 million cooperative members via a vote in mid-2027, necessitating a two-thirds majority in each region.

In conjunction with the merger, Migros CEO Mario Irminger and Supermarket AG head Peter Diethelm have announced they will step down following the vote in 2027.