There are ongoing conflicts between management and unions at Delhaize regarding the company’s plan to franchise all 128 of its remaining stores. Despite opposition from the unions, management remains committed to the plan and negotiations have yet to take place. Last week, the Minister of Economy and Labor appointed a social conciliator with knowledge of the industry to try to reconcile the conflicting viewpoints. The Minister urges management to respect the tradition of social consultation and consider other options aside from franchising. He also warns against provocation and advocates for simplifying joint committees in the distribution sector to standardize working conditions and remuneration. The Minister sees Delhaize as an international group seeking to transfer responsibility for its staff to franchisees and independents, while still making profits, distributing dividends, and increasing executive remuneration. He believes there is room for both franchised and integrated stores.
At Delhaize, there is always a deadlock between management and the unions. Management remains committed to its plan to franchise all of the 128 stores it still owns. So far, she opposes union demands to withdraw from the plan. No negotiations could take place.
Last week, the Minister of Economy and Labor, Pierre-Yves Dermagne appointed a social conciliator to try to reconcile the points of view in this file. “He is someone who knows the sector well.“, says Minister Dermagne of this conciliator, since he chairs the joint commission for mass distribution.
For now, “the blockage is persistent“, recognizes the minister who remains confident in spite of everything on the outcome of the consultation. “I believe in it, otherwise I would not have appointed a social conciliator“, he reacts. He recognizes however that “it’s a complicated file with a huge stake“.
The Minister calls on the management of Delhaize to consult. “I really call on the management of Delhaize, which is a Belgian group, which plays on this Belgian anchorage, to respect the tradition of social consultation, of negotiation between the unions and employers and to also consider other options than franchising list of these 128 stores“, he declares.
With regard to the hardening of the conflict, the use of bailiffs, in particular, the minister speaks “rupture of the model of social consultation“. “It is for me also a form of provocation“, believes Pierre-Yves Dermagne.
For the Minister, the leaders of Delhaize “need” this consultation. “When we are so attached to the image of Belgium, that we have even renamed ourselves Belhaize to recall this historical and strong link with its consumers, its workers, we must be part of a logic of social consultation and take into account the interests of workers“, says the Minister.
“I call on the management to take the path of negotiation, to respect the trade unions and to avoid provocation“, asks Pierre-Yves Dermagne. He warns in passing this direction of the risks, since some are already thinking of strengthening the Renault law.
Pierre-Yves Dermagne also sees in Delhaize “un group that has become international“, “which makes profits, distributes dividends to its shareholders, has increased the remuneration of its managers and which, in a way, would like to transfer the responsibility for its staff to more fragile structures, namely franchisees and independents“These franchisees are not a problem for the Minister, however.”There is room for both franchisees and integrated stores“, says the Minister.
Pierre-Yves Dermagne also pleads for order to be restored to the distribution sector. “We have too many joint committees with different rules“, he believes. “I asked the social partners, the bosses and the unions, to sit around the table to simplify the landscape of these joint committees“, he adds. It is necessary, he says, “standardize working conditions and remuneration“.
In conclusion, the deadlock between Delhaize management and the unions seems to persist. However, the appointment of a social conciliator by the Minister of Economy and Labor, Pierre-Yves Dermagne, shows that efforts are being made to reconcile the conflicting parties. The Minister calls upon Delhaize to respect the tradition of social consultation and negotiation between unions and employers and to consider other options than franchising. He warns that the hardening of the conflict may lead to the strengthening of the Renault law. Pierre-Yves Dermagne also pleads for the restoration of order in the distribution sector and the standardization of working conditions and remuneration. Only time will tell what the outcome of this consultation will be and whether Delhaize can find a way to reconcile with its employees.