AROUND 90 people are to be made redundant when one of Leyland's landmarks is demolished later this year.
Kwik Save, in Southern Towngate, will be bulldozed to make way for a new Tesco supermarket.
Staff at the Kwik Save store, which was known as Food Giant until it merged with the firm last year, have been told that their days working in the supermarket are numbered.
Negotiations are currently under way between the two firms, to decide exactly when Kwik Save will close.
A spokesman for the company said: "The staff will be the first to know when the final decision is made.
"We will try to ensure staff will be relocated to another store and give them our full assistance as they look for alternative employment."
Tesco plans to build a 55,000 sq ft supermarket on the Southern Towngate site which will create more than 250 jobs when the store opens.
A leisure complex will also be developed in future, including a cinema and bowling alley.
Coun Tom Hanson said: "I don't think Tesco will want to set up a store in the old building so it is very likely that Kwik Save will be demolished."
Meanwhile, council leader Gina Lewis has said rumours that the council plan to open a large petrol station on another piece of derelict town centre land are 'nonsense'.
As part of the sale of the the Southern Towngate site, Tesco bought a patch of land on the opposite side of St Andrew's Way.
That land has been passed on to South Ribble Borough Council.
Rumours had been rife that the land would be developed into a petrol station.
Coun Lewis said: "The site may be developed in the future but there are no plans for a petrol station."
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