FIGHT TO SAVE EVERY TESCO JOB!

Retail giant unilaterally declares 9,000 job losses 

Tesco workers have reacted with a mixture of shock, anxiety and fury at the announcement of 9,000 job losses, and the manner in which this jobs slaughter was declared.

In what was undoubtedly a cynically calculated leak from the higher echelons of Tesco's bosses, the weekend press was full of speculation about 15,000 job losses. If they thought this would lead to a collective sigh of relief from thousands of distressed workers when the official announcement of ‘only’ 9,000 job losses was subsequently made, they were badly mistaken. Workers are rightly furious at Tesco bosses treating them, and their unions, with such utter, high-handed contempt.

An unprecedented number of retail workers are talking about the case for industrial action to stop these job losses. Unless talks with Tesco produce an acceptable, total retreat from these plans - protecting all jobs, wages and conditions - union activists and members in general are going to have to seize the bull by the horns and make it plain that they are indeed prepared for collective action. Otherwise, unless serious resistance is mounted, three times as many jobs as were infamously wiped out at the Lanarkshire Ravenscraig steelworks could be decimated.

TESCO RIP UP PARTNERSHIP AGREEMENT

What does this grotty episode say for Tesco’s attitude to the oft-trumpeted partnership agreement with Usdaw?

They've arrogantly ripped this agreement to shreds, not even consulting the union, let alone negotiating their plans. Instead, unilaterally declaring their savagery via the media, proving in action that they believe in the dictatorship of big business over workers and their elected representatives.

Even the pathetically weak employment laws in this business-dominated state prescribe consultation – and meaningful consultation at that – at the formative stage of any planned changes to a business. This plan of butchery is in flagrant contradiction to that procedure, let alone the alleged partnership agreement Tesco’s signed up to with Usdaw.

As I've often written before, social partnership is the partnership of the rider and the horse, with big business in the saddle.

Tesco bosses plan to slash 9,000 jobs, closing fresh food counters in 90 of their 790 large stores. They also want to only open the meat, fish and deli counters part-time in the other 700 stores, plus cut back on staffing levels in the replenishment and layout design operations. To add insult to injury, they aim to replace staff canteens with glorified vending machines. That in itself means loss of jobs for canteen staff. And when worries about the future of their bakeries are raised, they trot out those well-worn, weasel words, “we have no plans to shut the bakeries”; aye, no plans now, but what about the next phase of cuts, if they get away with this round?

HOW IS ENDING FRESH FOOD COUNTERS ‘SUSTAINABLE’?

What does this plan do for the growing, modern demand for fresh, locally-sourced food? How does that match their soothing words about merely wanting “a simpler, more sustainable business”? In truth, it’s just the latest link in the chain of strangulation of small businesses, small farmers and food producers which the big supermarkets wield every time they move into a town or area. For instance, they wipe out local butchers’ shops and fishmongers, and now plan to get rid of fresh fish and meat counters in their own super-stores.

Of course, the immediate task of the union is to challenge Tesco’s bogus claims, and demand that there is not a single job loss, nor a penny lost in any worker’s pay, in any changes to roles in the stores that might be (belatedly!) negotiated with the unions – where Usdaw itself represents over 160,000 Tesco workers. And every store should have a proper staff canteen – not to mention protection and expansion of fresh food counters, sourced locally.

TESCO’S SKYROCKETING PROFITS

What possible justification can there be for this jobs brutality? 

Workers’ efforts have achieved 12 consecutive quarters of growth for the business, plus a successful Christmas trading period.

And this is no struggling family corner shop!

Tesco’s profits have skyrocketed in recent years, after top bosses incurred a loss of £2billion in share values by, putting it plainly, fiddling the books. Profits rose from £145m the previous year to £1.3billion in 2017, a gargantuan 800% increase. And this bounty rocketed by a further 28% last year, to £1.64billion.

In the UK and Ireland alone, the efforts of Tesco workers produced over £1.1billion in profits last year - another 31% rise on the year before.

Where have all the profits gone? That's one of the central questions workers and the union need to pursue and expose, in fighting to rip apart Tesco’s so-called business case for this butchery of jobs and conditions. They should be forced to open up their company plans and balance sheets to public inspection by the unions and financial experts. What have they got to hide, if they are merely wanting to meet changing customer expectations and “building a simpler, more sustainable business”, as they claim?

DEMAND A LEGAL MAXIMUM INCOME 

We already have a partial answer to the question of where the profits sweated from workers have gone: the bank accounts of top Tesco bosses. Chief Executive,  ‘Drastic’ Dave Lewis, enjoyed an increase of 17.5% on his income last year, to a staggering £4.9million. 

Leaving aside the combined incomes of the other directors, Lewis’s obscene greed alone justifies the policy which I successfully proposed at the 2018 Usdaw national conference (ADM) - for a Legal Maximum Income initially set at ten times the legal minimum wage. 

If that was applied to the Tesco CEO, imagine the impact of ploughing over £4.7m back into workers’ wages and job security, instead of it going into the coffers of one fat-cat.

LOW PAY AND INSECURE CONTRACTS THREATEN JOBS

Retail in general is in crisis, with multiple causes. Last year, 70,000 jobs were shed, and the British Retail Consortium forecasts a further 90,000 job losses this year. 

One of the root causes of the terrible insecurity and loss of conditions facing the 3 million workers in retail is the chronic low pay and insecure contracts imposed by the profiteers on this vital sector of the economy - which contributes at least 11% of GDP.

Low wages and low hours – zero-hours and, more commonly, short-hours contracts – strangle workers’ spending power, and thereby threaten jobs. And it's not just poverty pay in retail that causes this problem; it's a plague across all sectors.

That's why Usdaw’s centre-piece Time For Better Pay campaign is so critically important.  The demands for an immediate £10-an-hour minimum wage for all workers, and a guaranteed minimum 16-hour contract for every worker who wants it, would help fuel the economy, boost workers’ spending power and their sense of security. And it would substantially redistribute wealth from profits to pay.

Likewise, Usdaw’s campaign for a Retail Industrial Strategy is critical in resisting this jobs slaughter, highlighted by the Tesco announcement, but common to all the Big 4 supermarkets and the rest of the sector.  This calls for measures including changes to taxation to end the unfair advantages enjoyed by online traders over ‘bricks and mortar’ stores; reform of local commercial rents, business rates, public transport and car-parking, to help save our High Streets; investment in upskilling retail workers to meet the challenges of new technology; and improved productivity through decent pay and contracts.

DEMOCRATIC PUBLIC OWNERSHIP OF RETAIL GIANTS

But in my personal opinion, the outrageous butchery declared by the unelected, totally unaccountable profiteers also highlights the need for a radical overhaul of who owns and controls retail. 

Why should multi-millionaire owners and Chief Executives have the power to destroy the livelihoods of thousands of workers, and create havoc for entire families and communities?

Why should they be entitled to cream off £billions in profit and then ‘reward’ those workers who created this mountain of wealth for them with a P45?  

At the 2017 Usdaw national conference it was agreed to call for public ownership in such situations. That would lay the foundations for a democratic plan of action - embracing retail workers’ union representatives, local authorities and governments - to invest in town centres and other retail outlets in a fashion that maximises jobs, retail services to communities, and indeed the interests of family farmers and small businesses. 

A retail sector based on public needs and agreed priorities, rather than dictatorship by the retail giants; an end to the rule of private profit for the few over the lives and livelihoods of millions of people.