Woolworths to face court over ‘Mind the Gap’ scheme
The Australian Competition and Consumer Commission (ACCC) has instituted proceedings in the Federal Court against Woolworths, alleging it engaged in unconscionable conduct in dealings with a large number of its suppliers.
The ACCC alleges that in December 2014, Woolworths developed a strategy, approved by senior management, to urgently reduce Woolworths’ expected significant half-year gross profit shortfall by the end of the year.
The scheme, referred to as ‘Mind the Gap’, allegedly involved Woolworths systematically seeking to obtain payments from a group of 821 ‘Tier B’ suppliers to its supermarket business. RetailWorld – Read more…