Pardon my ignorance if this is what this rant will eventually be called but I have a serious problem with Pick n Pay and the actions it is currently undertaking. Call me what you will but my basic understanding of how business works is this. People are in business to make a profit, as long as you are profitable your business is in the right kind of shape. You have a breakeven point where you are able to meet all of your obligations and being in business only to break even means that your business is in survival mode. Finally you have loss, this is when it’s costing you more money to be in business than it’s worth and as such it means that and your business is dying. That means that the loss position is unsustainable.
The Fin24 article about Pick n Pay’s retrenchment drive because their profits are 30% down got me thinking. How do we get to a point where we can justify retrenching people when a company has made profit? I am sorry that shareholders got R70 000 instead of R100 000 as dividends this year for example but does this make retrenchment the only option? Is this even justifiable? Who is that greedy that we can suspend someone’s livelihood because their profit was a little lower this year?
I am sorry to say this but that is just a rotten attitude to have, I am frankly disgusted by Pick n Pay and if I can help it will never shop at their stores again. In these economic times when jobs are so hard to come by and everyone is struggling can let people go because we did not make enough of a profit? Yes we can but should we? I would have liked to think that retrenchment was a last option and would only be done when one needs to save their company from going under but nooooo! Are shareholders or investors really that messed up that even when their investment is safe (Pick n Pay looks like a safe company to invest in) that they could be so upset at making a little less profit this year that they can agree to retrench people?
That stinks, and I hope if you are reading this you feel as disgusted by these actions as I do. Profit = Positive, Breakeven = Bad and Loss = Mortal Danger. This company is PROFITABLE and they can discard people like that? I would like to thank Pick n Pay for showing us their true colours and let anyone who matters from P n P who is reading this know that: You are horrible human beings! As long as I live I hope to never see a cent of my money go into any of your tills.