Panel to advise minister on Walmart-Massmart deal

2010-11-15 11:48

Economic development minister Ebrahim Patel has set up a panel to advise government on the likely implications of US firm Walmart’s bid to buy more than 50% of local retailer Massmart.

The panel was established, Patel said in reply to a Parliamentary question today, after he met top executives from Walmart and Massmart last month.

“At that meeting, the two companies provided the rationale for the proposed transaction. Following the dialogue with Walmart and Massmart, I have set up an advisory panel to identify the relevant policy issues and the implications of the proposed acquisition, particularly from an economic development perspective.”

Members of the panel include the deputy director-general of economic development Neva Makgetla, Standard Bank group economist Goolam Ballim, Industrial Development Corporation CEO Geoffrey Qhena and Iraj Abedian from Pan-African Investment and Research Services.

Patel said officials from his department were in talks with Walmart and Massmart to obtain details about the planned deal, and would meet with retailers, manufacturers and trade unionists to hear their concerns.

“During the envisaged further discussions with the two companies, a number of issues identified in the report of the advisory panel and the views of stakeholders will be canvassed,” he said.

The SA Commercial, Catering and Allied Workers’ Union (Saccawu) has threatened to go on strike if the deal goes ahead.

Walmart has a reputation for being at loggerheads with US trade unions.

Saccawu this month handed Massmart CEO Grant Pattison a set of demands pertaining to the proposed deal, including that employment conditions and agreements remain intact afterwards.

Join the conversation!

24.com encourages commentary submitted via MyNews24. Contributions of 200 words or more will be considered for publication.

We reserve editorial discretion to decide what will be published.
Read our comments policy for guidelines on contributions.

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
0 comments
Comments have been closed for this article.

Inside News24

 
/News

Book flights

Compare, Book, Fly

Traffic Alerts
There are new stories on the homepage. Click here to see them.
 
English
Afrikaans
isiZulu

Hello 

Create Profile

Creating your profile will enable you to submit photos and stories to get published on News24.


Please provide a username for your profile page:

This username must be unique, cannot be edited and will be used in the URL to your profile page across the entire 24.com network.

Settings

Location Settings

News24 allows you to edit the display of certain components based on a location. If you wish to personalise the page based on your preferences, please select a location for each component and click "Submit" in order for the changes to take affect.




Facebook Sign-In

Hi News addict,

Join the News24 Community to be involved in breaking the news.

Log in with Facebook to comment and personalise news, weather and listings.