Published: Friday, 24th February, 2006 10:11
No jobs will go in supermarket sale
By Hannah Jefferson
Print Article
SOMERFIELD’S bosses are putting their Northgate store up for sale.
But have denied rumours that up to 40 jobs are on the line.
Following a probe by the Competition Commission the supermarket was forced to sell one of its Peebles stores.
An appeal was lodged, but this week bosses confirmed they were now in the process of putting their smaller shop on the market.
Jackie Novels, spokeswoman for the supermarket chain, told the Peeblesshire News: “`The Peebles Northgate store is one of the stores which we are required by the Competition “Commission to sell as a going concern to another food retailer. “We will now start to actively market the store.
`When the store is sold it will be subject to full TUPE,Transfer of Undertakings and Protection of Employment, regulations, under which all jobs should transfer to the new owner.
“Staff would be welcome to apply for jobs elsewhere with Somerfield if they prefer not to transfer but their
existing positions would be secure.
`We would like to take this opportunity to thank both customers and staff for their loyalty.`
A deadline of March 10 has been set by the commission for Sommerfield to either start the sale process or lodge an appeal.
Commission officer Francis Royle said: “As soon as we hear that they are not intending to appeal we can start a 15-day consultation period so that anyone can put their views forward about the judgment.
“We would then put a timetable in place for the selling of the store.
“The period given will be confidential but if Somerfield fail to sell in that time scale we would appoint an independent body to take over the sale.”
Fears had been expressed that the store would be closed down with the loss of around 40 jobs if a suitable buyer wasn’t found.
But both the commission and Somerfield believe this is highly unlikely.
Francis Royle added: “It is our intention to put in place a suitable competitor. We have named the stores which we think meet the criteria
“Ultimately if no one wanted to buy it there would be a problem but we believe there is interest and have no particular concern about that.”
Somerfield’s monopoly of the markets in Peebles has been criticized since the company took over its only local rival, Morrisons, in 2004.
A nationwide investigation started last summer and Peebles was found to be one of twelve areas of concern after Somerfield bought 115 stores from Morrisons.
The case was prolonged when Somerfield initially appealed for the right to choose which of its stores to sell.
The recent news has been welcomed by local councilor Catriona Bhatia, who has campaigned to restore a choice for shoppers in the town.
She said: “I am looking forward to the return of some competition among the main supermarkets in Peebles.
“Lots of people have been asking me about this so it’s great to see things finally moving forward.”
Information about the investigation will be published on the competition commission website and the consultation period will begin once Somerfield have formally accepted the ruling that the store should be sold.
Del.icio.us
Digg
Facebook
Reddit
Stumbleupon
Further Details
Tributes pour in for local soldier