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Sainsbury’s and Asda merger in doubt – Usdaw calls on the CMA to listen to workers’ concerns over jobs

Date: 20 February 2019 The Competition and Markets Authority (CMA) has today released its provisional findings into the proposed Sainsbury’s and Asda merger. The CMA has so far concluded that on the balance of probabilities, a merger would result in a substantial lessening of competition.
Usdaw has previously expressed concerns about the CMA investigation making recommendations in relation to competition without considering the impact on jobs.
 
Paddy Lillis – Usdaw General Secretary says: “Given the issues currently affecting the retail sector, it is surprising that the CMA has found there to be such significant concerns over competition. With the retail sector already struggling Usdaw’s priority, is to prevent store closures, protect jobs and ensure a vibrant High Street.
 
Today’s recommendations have come about without adequate consideration of the impact of the CMA’s decision on the workforce. I urge the Government to listen to the concerns of the workforce by extending the role and the function of the CMA to include consultation with trade unions, appoint trade union representatives onto the CMA and conduct a full review of UK takeover laws to ensure the impact on workers is taken seriously in all decisions.
 
“The retail sector is facing one of the most challenging periods in its history. To tackle the crisis on our high streets Usdaw is proposing  a comprehensive industrial retail strategy for the retail sector. We urge the Government to engage with us and support our strategy to ensure that shopworkers have a voice in the future of retail.”
 
Notes for editors:
 
Usdaw (Union of Shop, Distributive and Allied Workers) is the UK's fifth biggest and the fastest growing trade union with around 425,000 members. Membership has increased by more than 28% over the decade. Most Usdaw members work in the retail sector, but the union also has many members in transport, distribution, food manufacturing, chemicals and other trades.
 
Usdaw’s proposed strategy for the future of retail is based on three key strands:
 
  • A new economic frame is needed to support and develop the sector including a comprehensive review of commercial rents and business rates; reform of tax laws; and closing the gap between CEO pay and workers.
  • A range of measures need to be introduced to tackle the issues affecting workers in the retail sector including minimum pay of £10 per hour; minimum contract of 16 hours (for those who want them); and the right to an employment contract that reflects an individual’s actual hours of work.
  • Change the narrative to ensure retail jobs are viewed as ‘real jobs’ by getting a commitment from employers/government to invest in skills within the retail sector; a robust strategy on how to deal with automation; and a seat for Usdaw on the Expert Advisory Panel on High Streets.
For Usdaw press releases visit: http://www.usdaw.org.uk/news and you can follow us on Twitter @UsdawUnion

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