Pick n Pay Proposes Changes to Worker Benefits and Rosters

Pick n Pay has proposed changes to full-time store workers’ benefits and rosters, including night transport, staff meals, Sunday bonus pay and 13th cheques. According to AllAfrica, the South African Commercial Catering and Allied Workers Union (SACCAWU) said the retailer sent formal legal notices directly to workers last week.

SACCAWU spokesperson Sithembele Tshwete told Business Report that company officials presented the proposals in a meeting and asked the union to sign an agreement accepting the changes immediately. “If it means that we have to go out on the streets, we’ll go out on the streets,” Tshwete said.

The union stated that Pick n Pay broke consultation rules by communicating directly with employees rather than through the union first. Pick n Pay denies that it plans to dismiss 22,000 workers. The company said the legal letters were sent to discuss changing the way the business operates.

CEO Sean Summers said Pick n Pay treats its staff much better than rival shops and wants to change work rosters so full-time staff work on weekends. The retailer also claims its employee benefits are much higher than those at rival grocery stores. AllAfrica reported that Pick n Pay is losing money and trying to turn its business around after closing several stores and freezing salaries.

The company expects its financial losses to get much worse by 2026.

SACCAWU said the proposals amount to an attempt to fix the company’s share price by reducing worker benefits. The union added that the supermarket wants to cut night transport, cheap meals and Sunday pay for full-time store workers. SACCAWU first detailed the demands in statements that also accused the retailer of attempting to cancel Sunday bonus pay and 13th cheques.