Staff Reporter|Published
Pick n Pay has reached an agreement with its primary labour union, SACCAWU, bringing an end to a formal consultation process that had been part of the retailer’s efforts to restructure its store-based workforce.
The retailer announced on Thursday that it had withdrawn the Section 189A consultation process initiated under the Labour Relations Act, following an agreement with the South African Commercial, Catering and Allied Workers Union (SACCAWU).
Pick n Pay acknowledged that the process had been difficult for affected employees, while thanking union representatives for their constructive engagement.
The company said further details of the agreement would be provided alongside its interim financial results on Monday, October 26.
Narrowing losses
The announcement coincided with a trading statement forecasting a narrower loss for the 26 weeks ended August 30, 2026, compared with the corresponding period last year.
Pick n Pay expects its headline loss per share to improve by between 25% and 35%, from 59.77 cents in the first half of the previous financial year to between 38.85 cents and 44.83 cents.
Its loss per share is forecast to narrow by between 40% and 50%, from 67.53 cents to a range of 33.77 cents to 40.52 cents.
The expected improvement in headline loss per share reflects stronger trading profit at discount retailer Boxer, alongside a moderate reduction in the trading loss recorded by the Pick n Pay supermarket business.
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Full results on Monday
However, the retailer cautioned that the percentage improvement in headline loss per share partly reflects the relatively small headline loss of R439 million recorded in the first half of the previous financial year.
The figures remain forecasts and have not been reviewed by the group’s external auditors.
Pick n Pay’s interim results are scheduled for release on Monday, when the company is also expected to provide further information on the labour agreement.
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