Woolworths' plan to double its home brand product in supermarkets will lead to further job losses in the manufacturing sector and should be rejected by the ACCC, CFMEU National Secretary, Michael O'Connor said today.
The plan announced by the supermarket chain yesterday will effectively price local suppliers out of the market and constrain choice for consumers, driving jobs offshore.
Mr O'Connor welcomed the federal Government's decision to refer Woolworths to the ACCC.
"Too many manufacturing jobs have already been lost across Australia due to the predatory practices of the supermarket duopoly. The CFMEU will seek to make a submission to the ACCC on this referral," Mr O'Connor said.
"We welcome Minister Kim Carr's comments on this issue yesterday. It's good to see a Minister engage like this with the need to promote local employment.”
The CFMEU ran a successful campaign against Woolworths in 2007 and 2008, when the company used its Homebrand line to threaten the jobs of thousands of pulp and paper manufacturing workers who were producing tissue products for Homebrand.
At the time, the company had shifted to importing products made by Asian Pulp & Paper, a company that has been repeatedly accused of deforestation of Indonesian rainforests.
Mr O'Connor advised Woolworths to heed the lessons of that campaign.
"Woolworths announced a net profit of $2.12 billion this financial year and has absolutely no excuse to send more manufacturing jobs offshore by manipulating supply chains," Mr O'Connor said.
"It's time this company exercised more social responsibility for Australian jobs and families."
