John Craig merger saves more than 400 jobs

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More than 400 jobs have been saved after the Competition Tribunal approved a merger deal between the Pepkor-owned menswear retailer John Craig and Blue Falcon, who sell international sporting, leisure and lifestyle brands such as Adidas‚ Nike and Guess.

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According to the tribunal,"The 422 John Craig employees will be transferred to Blue Falcon in line with the provisions of the Labour Relations Act. This excludes certain executives who have concluded opt–out agreements and voluntary separation agreements with Pepkor Speciality, who owns John Craig." “In regard to competition concerns, the tribunal has found that the merger is unlikely to substantially prevent or lessen competition in any relevant market in South Africa. The merger parties will be required to provide the Competition Commission with detailed annual reports for two years, regarding their compliance with the conditions,” said De Gouveia.

De Gouveia said: “In addition, Blue Falcon and Pepkor Speciality must establish a database of the former employees and make this database available within Pepkor Speciality and John Craig for the purpose of availing employment opportunities to them.”

 

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