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South Africa: Massmart breaches Wal-Mart merger agreement

By  |  October 2, 2013

Retail chain Massmart has reportedly violated one of the key agreements made when the company merged with global leader Wal-Mart, say reports.

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    Massmart agreed to re-hire more than 500 workers dismissed from the job before a merger deal was struck, but has only reinstated less than half that number.

    The chain has now been informed of its non-compliance with the Competition Appeal Court, and has been issued a notice of apparent breach, say reports.

    The chains merged in a deal worth $17 billion following concerns that Massmart’s presence posed a threat to independent stores; the Competition Tribunal allowed the merger on the condition that former workers were given preference when re-hiring.

    Full Content: Business Report

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