Raley’s chief executive officer Michael Teel says the layoffs are due to the economy and a heavier-than-average corporate structure. The layoffs account for 25 percent of the corporate staff, from entry-level to vice president positions. Five high-ranking executives, including chief operating officer Dave Clark, are among those leaving Raley’s.
The 75-year-old chain — one of the largest private employers in the Sacramento region, with about 15,000 workers — is battling more competition, including retail giant Wal-Mart, and losing market share. The Raley’s layoffs do not affect employees at its 134 grocery stores, which include Bel Air Markets and Nob Hill. The privately owned company reported $3.4 billion in sales in 2009.