the CFDT takes the group to court for illegal practice

The CFDT took Carrefour to court on Monday March 11 for illegal practices. The union denounces the fact that the distribution group has turned many stores into franchises and lease management for six years, according to information from franceinfo which was able to consult the summons. For the CFDT, these transitions to franchise or rental management had “a direct impact” on the remuneration of the 23,000 employees concerned.

“They lose on average 2,300 euros per year and a large part of their social benefits”, tells franceinfo Sylvain Macé, national secretary at the CFDT services federation. According to the union, Carrefour “circumvents social legislation, diverts franchising and rental management from its initial purpose which is a model for developing a brand”. This allows the group “to avoid the cost of a real restructuring, to the detriment of employees”believes Sylvain Macé.

Abusive franchise contracts according to the CFDT

The CFDT also denounces the content of these franchise or rental management contracts. They are, according to the union, abusive, because the fee paid to Carrefour is too high, undermines the profitability of the stores while leaving little room for maneuver for managers or franchisees. The union is demanding in particular 23 million euros in damages from Carrefour, and a ban on any new management leasing or franchising of existing stores. For its part, Carrefour responds that leasing has made it possible to avoid the closure of hypermarkets in great difficulty. And according to the group, ex-employees also kept many of their benefits. In total, since 2018, 305 stores have been leased or franchised in France.