Positive social dialogue between Tesco and Poland's Solidarnosc trade union, but low wages are a problem
Tesco - Solidarnosc social partnership agreement proves its value

The social partnership agreement between leading UK retail multinational Tesco and Poland's Solidarnosc trade union is a solid base for constructive labour relations. This was made clear in discussions with trade union representatives in Krakow, during a recent visit by Usdaw General Secretary John Hannett, and Jan Furstenborg of UNI Commerce. The agreement was negotiated a few years ago, inspired by the social partnership arrangements between Usdaw and Tesco in the United Kingdom, and with the active involvement of UNI Commerce.

Usdaw General Secretary John Hannett tells about his discussions with Solidarnosc representatives while Tesco's operations director Tim Golding listens attentively. Labour relations in Tesco Poland are constructive, but low wages remain a problem. With important migration of young qualified workers to western Europe and particularly to the United Kingdom, this is becoming a problem also for the employers in Poland's highly competitive retail industry.

Trade union presence in Tesco in Poland continues to grow, as Solidarnosc organises market by market, touring the large country. Initially these organising efforts were part of a UNI Commerce and Usdaw supported project, which included the employment and training of young Solidarnosc organisers. Now, the union has taken over these responsibilities, with good results.

At the meeting in Krakow, it was agreed to intensify the contacts between Usdaw and Solidarnosc in supporting further developments of trade union work in Tesco in Poland. A major problem for the Polish workers is that wages are still lower than with major competitors, an issue which John Hannett and Jan Furstenborg also raised in subsequent discussions with local Tesco management.

At the Christmas market on the Krakow market square, the small retailers still have their day. Otherwise, large chains which include many of the world's leading commerce multinationals, continue to strengthen their grip of this huge consumer market. Carrefour, world's second largest retailer after Wal-Mart, has just announced the take-over of Dutch commerce multinational Ahold's stores in Poland. Recently, Tesco took over Casino's Leader Price supermarkets while German Metro Group's Real bought this French retail giant's Geant hypermarkets. In all these companies, Poland's Solidarnosc trade union is well established, much as a result of years of close project cooperation between its Gdansk headquarters and UNI Commerce.

In southern Poland, where Krakow is situated, it is becoming increasingly difficult for Tesco and other leading retailers to find competent personnel. Many young people are leaving for western Europe, particularly the United Kingdom, where they can earn considerably much more than at home. Tesco itself is one of the British companies which employs many Polish workers also at its home market.

Recently, Tesco and the Metro Group's Real split the Casino hypermarket and supermarket chain between themselves when the French retail multinational decided to leave Poland. The Geant hypermarkets went to the German retailer while Tesco took over the Leader Price supermarkets.

Yesterday, it was announced that Carrefour had bought Ahold's chain of hypermarkets in Poland, further increasing the concentration on what is the largest retail market in the new European Union member states in Central Europe. Also Carrefour has very good labour relations with Solidarnosc, which in a few years has established itself - supported by UNI Commerce - in a strong position in the country's retail industry.

Source: union-network.org