Pick n Pay has abandoned its planned retrenchments affecting 22,000 workers following months of negotiations and interventions by trade unions, according to the Congress of South African Trade Unions (COSATU).
In a statement issued on Sunday, 25 October, COSATU praised its affiliate, the South African Commercial, Catering and Allied Workers Union (SACCAWU), for securing the agreement, describing the outcome as a victory for workers and collective bargaining.
The dispute involved potential job losses and concerns over existing employment benefits, including guaranteed working hours, 13th cheques, Sunday premiums and transport for employees working late shifts.
COSATU said SACCAWU challenged Pick n Pay over its Section 189A retrenchment process, alleging that notices had been served directly to workers without engaging the union as their representative.
The federation and the union subsequently sought the intervention of Employment and Labour Minister Nomakhosazana Meth, who facilitated a six-hour meeting between union representatives and Pick n Pay executives.
According to COSATU, the meeting resulted in the retailer withdrawing its Section 189A application from the Commission for Conciliation, Mediation and Arbitration (CCMA) and agreeing to engage meaningfully with SACCAWU.
Although the Labour Court declined to grant an urgent interdict sought by SACCAWU in July, negotiations continued and eventually resulted in the retailer abandoning the planned retrenchments.
COSATU said the agreement demonstrated the importance of collective bargaining and trade union representation in protecting workers’ rights and livelihoods.
The federation also highlighted South Africa’s unemployment crisis, saying the country could not afford to see more workers lose their jobs.
COSATU has pledged to continue supporting SACCAWU and other affiliated unions in defending workers’ rights and promoting meaningful engagement over decisions affecting employment.
