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UNI Global Union says the decision by its South African affiliate SACCAWU to appoint James Hodge as its representative on the Walmart study is the right one and also applauds the appointment of Joseph Stiglitz by the South African government to the study. UNI welcomes the new study as the Competition Commission failed to adequately analyse the full implications of Walmart’s impact on the South African economy. Serious concerns remain to be answered about the Walmart business model from the supply chain to treatment of staff. This model will now be subject to the most rigorous analysis.

The Competition Appeal Court (CAC) on the Walmart-Massmart merger in South Africa called for the study to find the “most appropriate means, together with the mechanism, by which South African suppliers may be empowered to respond to the challenges posed by the merger…”

Philip Jennings, UNI Global Union General Secretary said, “The study will shine a light into the dark places where Walmart would prefer not to go. Hodge and Stiglitz are of the calibre to raise the right questions. The government’s appointment of Stiglitz, a Nobel prize winner and ex-chief economist of the World Bank shows how seriously they are taking the Walmart threat.”

Jennings added, “There are many questions that remain unanswered. Of immediate concern is when will Walmart adhere to the Court’s decision to reinstate the 503 workers who lost their jobs due to the merger? Walmart has already begun a major offensive with its Cambridge subsidiary multiplying across the country and new Walmart stores being lined up. Walmart’s use of labour brokers also appears to be spreading like a disease. Where are the permanent jobs the company promised the Competition Tribunal? It is never too late to do the right thing and put in place proper conditions to protect competitors and SMEs in the supply chain. The findings of the study will be critical to protecting local businesses from Walmart as it threatens to swallow them up. Local suppliers are now being given a second chance to be represented and heard. Up to now Walmart which is known for its supply chain squeeze has given very weak commitments. Hodge, Stiglitz and Mike Morris – the Walmart appointee and himself a former trade union leader – have a grave responsibility.”

James Hodge, an economist with Genesis, led the investigation on behalf of the three government departments during the Competition Tribunal and is acknowledged to have made a valuable contribution.

Bones Skulu, the General Secretary of SACCAWU, said "We are delighted to have appointed James Hodge to represent SACCAWU as a member of the panel of experts on the Walmart study. We are confident that under Hodge's stewardship the deficiencies of the Walmart-Massmart merger will be further revealed as already had been evident during the Competition Commission Tribunal Hearing. The Walmart study is important in the struggle to force the Company to act responsibly in South Africa and the African Continent."

The Competiton Appeal Court ruled that the cost of the study should be settled by Walmart and completed by June 9.

In partnership with SACCAWU, SACTWU and COSATU, UNI Global Union took up the fight against Walmart’s invasion in South Africa. UNI played a pivotal role in ensuring that its affiliate SACCAWU had the necessary information to lay before the Competition Tribunal with the provision of ten expert affidavits from overseas.



UNI is also challenging Walmart in India where the government is considering whether to allow foreign direct investment (FDI) into Indian’s huge retail market.