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Mon 13 July 2009
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Greed is the problem

"People are the problem," we were told at the Retail Risk conference some months ago as we covered credit scams, syndicates, and retail shrinkage. But I think BizCommunity contributor Nikolaus Eberl was closer to the mark when he asked whether hotel greed will kill SA's tourism brand beyond 2010. Because, on a broader basis, it's not so much 'people' as their greed that will be the downfall of any business in the end. Take a look at the construction strike currently underway. These workers are essentially hijacking what is to be SA's biggest international event ever. They know that these stadiums have to be built, otherwise there will be no 2010 FIFA World Cup. Not in South Africa anyway. And they're exploiting this to get what they want. But, on the other hand, these workers feel that they are being exploited and aren't being paid what they're worth for essentially making the event possible. So who's right? Who's wrong? Meanwhile, back at the store, Massmart employees are also threatening to strike over a wage dispute. They want an extra R460 or 8.5% (whichever is more) per employee, who are currently earning an average of between R4169 and R4797, depending on which of the retailer's divisions you're looking at. Doesn't sound like much to ask, does it? Now there's some 28000 people working for Massmart's various stores. A standard R460 raise for all these employees totals over R12.8 million extra per month. No wonder HQ is getting sticky. That's a monster chunk out of the bottom line. But on top of that, there are extra requests such as provision of transport, childcare and non-discriminatory medical aid contributions. Now, I can sympathise with low wage earners - most of us have been there at some point - but (and correct me if I'm wrong), I thought a standard requirement for employment is presence. You have to be there in order to work, so you can get paid. Surely this one basic requirement is not too much to ask? I've come across enough "own transport required" job ads to assume it's not... And it's not like it's necessary for employees to have their own cars... albeit our public transport system still leaves much to be desired. But we haven't even broached the subject of the alleged retailer price-fixing scam while masses sink nearer to starvation than ever before. There's a constant push-pull of finger-pointing and exploitation, and it all whittles down to greed. Everyone wants their share of the pie... but just how big is the pie and just how much of it are you entitled to? Either way, karma seems to be biting at both ends of the string... and in the end, everyone will get what they deserve...

Shan Radcliffe, Retail editor retailnews@bizcommunity.com Responses to this column welcomed in our new online editor's column archive. Image courtesy of FreeDigitalPhotos.net.

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