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UNI Global Union, South African commerce workers’ union SACCAWU, North American union UFCW and a coalition of workers’ representatives around the world are working to protect the South African economy from retailing giant Walmart’s bid to enter the local market.
From March 22-25, the South African Competition Tribunal will start hearings on Walmart’s bid to take over local retailer Massmart in a deal that will have serious repercussions on the local economy.
“We don’t want to see the ‘Walmartisation’ of South Africa like we have seen in the United States, in Chile, in Argentina, in Mexico and in many other countries around the world,” said Head of UNI Commerce Alke Boessiger. “Time and again we have seen Walmart enter a country and drive down wages and conditions for its own employees, depress conditions in the retail sector generally and wreak havoc in the local business community by driving competitors out of business and pushing suppliers to offer the lowest prices for goods sold.”
Recently UNI and SACCAWU blasted the South African Competition Commission for giving a recommendation to the Tribunal that the Walmart buyout of 51 percent of Massmart should proceed without conditions.
The South African government has also expressed its own concerns about the deal, asking the Competition Tribunal hold hearings on the deal and get more information from Walmart on how it will operate in the country.
SACCAWU, UNI and the UFCW believe that Walmart should be held to a strict standard to protect the local economy and workers’ rights or the deal must not be approved by the tribunal.
“Allowing Walmart to operate under its ‘business as usual’ model would be a disaster for workers in its stores, its competitors and its suppliers,” Boessiger said.
Click on "Related Files" to read affidavits submitted to the Competition Tribunal.