Retailers News South Africa

Retrenchments at Pick n Pay

Pick n Pay announced today, 6 July 2011, that due to operational requirements, it was considering the retrenchment of approximately 3137 workers at the company within the non-management bargaining unit (NMBU).

In terms of Section 189A and 189 (3) of the Labour Relations Act, the company has informed SACCAWU of its intention.

Pick n Pay Operations Director Neal Quirk said that this decision had been taken after a great deal of thought over a period of time and was in line with the major problem facing the company in respect of declining profitability and the loss of market share.The decision was not taken lightly but was required to ensure the viability of the retail business and its employees into the future.

"We've worked hard at looking at possible alternatives that may reduce the number of full-time people affected and these options will be discussed during our consultation process with the Union," said Quirk.

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