Oliver, who is paid £1.2m a year to front the supermarket giant's advertising campaign, was delighted after the store's bosses vowed to phase out its use of battery-farmed poultry.
Sainsbury's yesterday launched a new range of poultry raised in better coops, meaning a third of its total stock no longer comes from controversial battery farms.
Oliver said: "This is another massive step in the battle for better standards where chicken welfare is concerned. I'm delighted Sainsbury's made this commitment."
In January, Oliver led a Channel 4 TV campaign, 'Jamie Oliver's Fowl Dinners', with fellow chef Hugh Fearnley-Whittingstall to stop the sale of battery-farmed chickens. The chefs used the programmes to illustrate how the birds are reared in cramped, dark conditions.
He added: "They listened to Hugh and I and also to the hundreds of thousands of customers who have started to seriously consider animals' well-being when doing the weekly shop."
Earlier this year Oliver was furious the store snubbed the chance to debate the issue on his TV show.
He said at the time: "What's there to hide? I just don't know."
Judith Batchelar, director of health at Sainsbury's, said bosses met the two chefs last year to assure them the chain backed chicken welfare and said its sales of poultry reared in better surroundings were up 60 per cent since January.
Batchelar insisted its latest move showed their commitment to poultry welfare, adding: "With greater availability of affordable options, customers don't have to compromise."