Home breadcru News breadcru HR breadcru Cosatu to pressurize clothing retailers to set target of 75% local content on their shelves

Cosatu to pressurize clothing retailers to set target of 75% local content on their shelves

17 May '05
5 min read

Cosatu said it hopes that the retailers will use this period to reconsider their stance and sign the code.

The union federation said the campaign will be synchronised with action organised under the separate Cosatu Section 77 notice on the effects of the overvalued rand on the mining and manufacturing industries.

"It should be recalled that the Nedlac management committee at the end of April 2005, in a last-ditch attempt to have this matter considered, called for a meeting of the most senior representatives, to see if the gap between the stakeholders could not be closed.

"This is due to be discussed further on May 19 at a meeting of high-level representatives of government, the [South African] Reserve Bank, business and labour."

The union federation pointed out that by September last year, more than 32 000 jobs had been lost in the clothing, textile and footwear industry.

This figure, for the period since January 2003, has now risen to 40 000 lost jobs.

Following negotiations between Cosatu and a number of retailers -- including Edcon, Pick 'n Pay, Woolworths, Truworths, Foschini, Fashion World, Meltz, Pepkor, Cape Union Mart, Moresport, Shoprite Checkers and Topics -- in January this year, a "committee of five" retailers tabled a proposed code to Cosatu.

Cosatu said that in February, the same retailers unilaterally withdrew their proposal, on the basis that such a code may constitute a breach of t, on the basis that such a code may constitute a breach of the Competition Act.

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