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…