JOHANNESBURG - Employment and Labour Minister Nomakhosazana Meth has stepped in to try to save 22,000 jobs at Pick n Pay.
Meth convened a meeting of the company’s executives and trade unions after both parties requested her intervention.
The retrenchment process that started last month is now on hold.
READ | Pick n Pay warns it could take longer to make profit
Parties have agreed to return to the negotiating table to explore alternative solutions.
The retailer’s shares have lost more than half their value in the past five years.
They closed marginally higher on Friday.
Department of Labour’s Thobeka Magcai said Meth first met with the leadership of Pick and Pay and then she met with Organised Labour.
“Then this past week we had a meeting with both Pick and Pay and Organised Labour in that meeting that you mentioned was six hours. So you can see that there's willingness from both sides to try and find alternative and sustainable solutions.
“So yes, that's where we are. Now we are giving them this time to meet and they will then report to the Minister on their proposal moving forward. The Department is monitoring the situation very closely. Hence, we are there. The Minister has intervened to ensure that Labour laws are also followed accordingly.