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Could bonuses for employees transferring to franchisees be the solution to the Delhaize dispute?

Around 6 months since the supermarket chain announced that it intends to franchise out all the stores it currently still runs in-house the dispute between the retailer and the unions that represent its employees is still not resolved. In its latest attempt to resolve the dispute Delhaize now reportedly intends to offer employees that switch from working for Delhaize to become employees of one of the new franchise holders bonusses.

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The supermarket chain has reportedly set aside 40 euro to pay bonusses to staff that agree to work for one of the new franchise holders. The idea of paying out bonusses has already been put forward by Delhaize management during its negotiations with the trade unions.

The bonus should amount to a basic figure 1,500 euro per employee that agrees to work for a franchisee. In addition to this each employee would also receive 125 euro per year of service at Delhaize. Delhaize is also trying to encourage older employees to retire early if they can. The company proposes paying a bonus of 10,000 to employees that have not yet reached retirement age, but are able to retire.

The proposals will be voted on by the members of the three unions that represent Delhaize staff. On Tuesday the rank and file of the liberal trade union ACLVB rejected the proposals.

Around 9,000 people work at the 128 stores that Delhaize intends to franchise out. Many employees and the unions fear that once the franchisees take over pay and conditions will worsen.

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