South Africa rules that Wal-Mart cannot lay off workers for two years, must respect existing labor agreements for three years if it wants to complete its acquisition of Massmart

Kendall Sinclair

Kendall Sinclair

JOHANNESBURG , June 6, 2011 () – South Africa’s trade minister says the country does not want to scare off foreign investment by imposing conditions on Wal-Mart’s bid to buy into a South African company.

Rob Davies said Monday that the restrictions were meant to protect jobs. Davies welcomed a ruling last week that the deal could go ahead as long as Wal-Mart does not lay off any workers for two years, respects existing labor agreements for three years and invests in training South African suppliers.

Davies says his and two other government departments were “right to engage to try to ensure that this particular transaction did not have negative consequences on jobs or industrial development.” He adds the government is studying whether the conditions are enough.


AS-image © 2024 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

Share:

About Us

We deliver market news & information relevant to your business.

We monitor all your market drivers.

We aggregate, curate, filter and map your specific needs.

We deliver the right information to the right person at the right time.

Our Contacts

1990 S Bundy Dr. Suite #380,
Los Angeles, CA 90025

+1 (310) 553 0008

About Cookies On This Site

We collect data, including through use of cookies and similar technology ("cookies") that enchance the online experience. By clicking "I agree", you agree to our cookies, agree to bound by our Terms of Use, and acknowledge our Privacy Policy. For more information on our data practices and how to exercise your privacy rights, please see our Privacy Policy.