Workers fear axe in merger of stores
The £15billion merger of Asda and Sainsbury’s may cost thousands of jobs, union chiefs fear.
The deal would create a retail giant bigger than market leaders Tesco but competition watchdogs say it could result in stores being shut in areas where they may have a monopoly.
The GMB union, who represent Asda staff, believe 75 stores and 11 distribution centres are at risk because of their proximity to similar Sainsbury’s shops and warehouses.
GMB national of f icer Gary Carter said the deal – which may take up to two years to finalise – has left staff fearful about their jobs and prospects.
He said: “Asda have said to us they are going to continue as a separate operation and there are no plans for store closures and changes.
“Where there have been mergers and takeovers within the retail sector in the past, it has resulted in stores being sold and rationalisation within the distr ibution and head office functions.”
Ca r t er spoke a f ter meeting bosses at USowned Asda. He added: “It seems Sainsbury’s are very much in the driving seat and our Asda members are seeing it as a takeover.
“I’m sure Sainsbury’s and Asda will want to retain their market share but we want to make sure jobs and livelihoods are protected.
“People want job security but it’s likely to be up in the air for a long time.”