The Independent. 04 May 2007.

Watchdog investigates Tesco telecoms complaints. By Nic Fildes


Ofcom is investigating Tesco's telecoms division after customers complained that the supermarket had switched their telecoms services without consent and had then refused to cancel the orders.

Ofcom noted that over recent months there was a significant increase in the number of customers cancelling requests to switch to Tesco Telecoms. After receiving complaints from consumers, it will investigate whether the supermarket has been mis-selling its service by switching customers against their wishes.

Ofcom will also investigate customer complaints that Tesco refused to cancel orders on request, meaning the customer was forced to contact their existing telecoms supplier to stop the order. Customers that choose to switch telecoms supplier have a 10-day "cooling off" period in which they can cancel orders primarily to stop mis-selling. Tesco blamed the problems on a billing system and denied it had deliberately mis-sold.

A Tesco spokesperson said: "We very much regret that some customers have experienced difficulties in trying to cancel their transfer, but of course we would never knowingly miss-sell any product. The problems were down to a change in billing systems which led to delays and a breakdown in communications with... customers. These issues are now largely resolved."

The investigation could take months and Tesco could face a hefty fine if it is found to have mis-sold products. The maximum fine is 10 per cent of the unit's revenue. Ofcom is also investigating the Post Office over alleged mis-selling of its phone services.

Evening Standard. 4 May 2007. Jonathan Prynn

Tesco faces phone line sale probe


Tesco is being investigated over claims that it mis-sold fixed-line phone contracts.
Industry regulator Ofcom said it will examine whether the supermarket's offshoot Tesco Telecoms had broken its code of practice.

It follows complaints that the company signed up customers without their full consent and failed to cancel orders when customers requested it, as it is legally obliged to do.

In some cases people complained they were forced to contact their existing supplier to prevent the transfer of service to Tesco Telecoms.

A Tesco spokesman said: 'We would never knowingly missell any product.

'The problems were down to a change in billing systems which led to delays and a breakdown in communications with customers.'

Tesco Telecoms could face a fine of up to 10% of its revenue if it is found to have mis-sold products.

Scotsman

MPs support Tesco drivers in strike row

TESCO delivery drivers in the midst of a strike ballot have won the support of a group of MPs.

Workers are furious at new terms the supermarket plans to impose, which they claim amount to major pay cuts.

Livingston MP Jim Devine has tabled an early day motion at Westminster on the situation faced by workers at Tesco's huge West Lothian base. It has been supported by five other Labour MPs including Linlithgow and East Falkirk's Michael Connarty and East Lothian's Anne Moffat.

The motion reads: "We express deep concern that drivers at the Tesco depot in Livingston have been threatened with dismissal unless they sign up to new terms proposed by the company. We urge Tesco to come back to open meaningful negotiations."

Evening Standard - 8 May 2007 - Jonathan Prynn

Rogue fuel costs Tesco 8m


Tesco has paid out 8m to motorists who bought contaminated fuel earlier this year, it emerged today.
The supermarket giant said it had acted quickly to reimburse about 18,000 victims, mostly in the South-East.
Drivers' cars developed faults after filling up at Tesco and Morrisons forecourts across the region about two months ago.
Many said their vehicles started 'kangaroo jumping' or ground to a halt shortly after taking on the petrol. Most of the affected motors suffered damaged sensors, which are used to regulate emissions, with repair bills ranging from 200 to 1,000.

The fuel was found to have been contaminated by high levels of silicon and the rogue batch was traced to a storage depot in the Thurrock area of Essex.
Tesco apologised after tests showed it had sold the contaminated fuel. A spokesman yesterday said the 'vast majority' of compensation claims had now been settled.
Morrisons also said it had dealt with 94 % of claims, but refused to say how much it had paid out in compensation or the number of drivers receiving payouts.

Investigations are still ongoing as to how the fuel became contaminated although the storage company is not thought to be held responsible.

From The Times - May 9, 2007 - Sarah Butler

New clampdown will make it tougher for Tesco in Thailand


Tesco may face renewed difficulties in Thailand after the countrys military-installed Government endorsed a new law intended to curb the expansion of foreign retailers.
The new legislation, which needs further approvals before it comes into force, would create a central body, to be called the Retail and Wholesale Supervision Committee, to regulate retail businesses nationwide.
That body would take its lead from provincial governments, which would assess and approve or reject plans for any new supermarkets in their area.
Oranuj Osathananda, the Deputy Commerce Minister, said: The new law approved today will decentralise authority to provincial regulators and allow greater hearing of public opinion.
If retailers go against the verdict of provincial authorities or violate the law in any other way, they would face up to three years in jail or fines of three million baht (46,000).
The Government is also taking tougher measures to enforce city zoning laws in order to slow the expansion of foreign retailers.

Tesco has had a difficult time in Thailand since a military coup late last year, which led to restrictions on expansion plans in one of the chains most successful overseas markets.
The company was forced to temporarily halt the expansion of its chain of small convenience stores and only recently reactivated the programme.
The Commerce Ministry has claimed that more than 100,000 small shops have been forced to shut over the past decade due to rapid expansion of large retail chains.
A Tesco spokesman said: We are still waiting to see the details, but there appears to be no mention of Thai consumers and we would ask the Government to consider how this law will benefit them.
This is just the first step in the process and we will continue to work with the Government to explain the benefits that modern retail brings to Thai consumers and suppliers. He said that such issues were bound to occur occasionally for a business that was operating in a number of different markets around the world.
The important thing is that we have a strong business in Thailand which is popular with our customers, the spokesman said.

The proposed law will be sent next to the nations top legal experts before being submitted once again to the military-appointed parliament for final endorsement.

BANGKOK (XFN-ASIA) - Thailand's military-installed government endorsed a new retail law aimed at reining in the expansion of major foreign retail companies after an outcry by local shop owners. Under the new law, local governments would assess and approve any proposed new branches of supermarket chains in their province. A new central body -- the Retail and Wholesale Supervision Committee chaired by the commerce minister -- would also be set up to regulate the retail business nationwide. The retail measure was initially rejected by the cabinet, which complained that the central committee would have too much authority to regulate retailers, but the cabinet gave a revised version its approval.

'Instead of having only one central regulator, the new law approved today will decentralize authority to provincial regulators and allow greater hearing of public opinion,' said deputy commerce minister Oranuj Osathananda.

Supermarket chains, mostly foreign-owned groups like British company Tesco Plc and France's Carrefour SA, have been locked in a row with the government and small stores, which complain the big retailers are driving them out of business. More than 100,000 small shops have shut over the last decade due to rapid expansion of the chains, the commerce ministry has said. If the retail majors go against the verdict of provincial authorities or violate the law in any other way, they would face up to three years in jail or fines of 3 mln baht under the bill.

The law will now be sent to the nation's top legal experts before being submitted once again to the junta-appointed parliament for final endorsement. In the meantime, the government will toughen its enforcement of existing zoning laws to slow the expansion of foreign retailers, a spokesman said. 'It will take some time before the retail law takes effect,' deputy government spokeswoman Netpreeya Chumchaiyo told reporters. 'To immediately reduce impacts from rapid expansion of foreign retailers, the cabinet agreed to tighten the existing city zoning rules to regulate retail business first.'

Tesco Union Calls for Strike Ballot to Support Scottish Drivers - By Lenka Ponikelska


May 22 (Bloomberg) -- Tesco Plc union members are calling for a ballot on strike action in support of Scottish drivers of the supermarket company.

The Transport and General Workers branch of the Unite union says it will call a ballot of drivers at Tesco's U.K. distribution depots in support of 150 drivers at a Scottish depot who already plan to strike from May 24 to 26 over changes to pay and working conditions.

``Tesco is wrong to say the dispute is just about how people are paid. It is about losses of between 3,000 pounds ($5,915) and 6,000 pounds a year which are at issue along with losing the protection of their union,'' Ron Webb, T&G section of Unite national secretary for transport, said in an e-mailed statement.

The T&G section of Unite, which represents 5,000 workers at Tesco's main distribution depots, have not set a date for a ballot.

Tesco earlier said in an e-mailed statement that it will ``do everything in our power to ensure that the actions of a minority of staff will not disrupt the service we provide and cause inconvenience to our customers.''

not looking good

The Observer - Sunday May 27, 2007 - Oliver Morgan

Tesco braced for drivers' strike


Tesco may face empty shelves and widespread supply disruption as its distribution drivers prepare for a national strike ballot this week. The move by Unite, the merged Transport and General Workers and Amicus unions, follows a walkout over pay and recognition at a Tesco depot at Livingston in Scotland last week. There was a 126 to six vote in favour of strike action at Livingston on a 90 per cent turnout. The T&G claimed last week's action, from Thursday to Saturday, meant only 25 per cent of normal truckloads left the depot, although Tesco said operations ran normally. The union says that unless Tesco changes its stance on new contractual conditions and the derecognition of Unite at the new depot it will announce a nationwide ballot of some 5,000 drivers across five other depots on Wednesday. Ron Webb, the T&G/Unite national secretary for transport, said: 'We will inform the company of our intention this week unless they make a U-turn.' Unite's grievances relate to contract changes accompanying a move to a new Livingston depot which introduced new shift patterns, meaning losses to some drivers of up to 6,000 in overtime and other payments. Tesco has confirmed it has a single union agreement with Usdaw, the shop workers' union, at the site.

BBC - Saturday, 26 May 2007

Tesco has apologised for a mistake over corn-fed chickens


Tesco has apologised for selling chicken labelled as corn-fed which had not eaten enough maize to meet minimum requirements. The supermarket called it a "completely unacceptable" mistake, caused by a farmer accidentally giving his birds the wrong feed. The apology comes after tests were carried out on chicken sold by six supermarkets and department stores. Tesco also confirmed that no affected chickens remained on sale. The tests were organised by the Times newspaper, which reported that the Department for Environment, Food and Rural Affairs (Defra) Central Science Laboratory in York had found the Tesco chicken "was not in keeping with EU regulations". All the other chicken samples tested were found to justify being sold as corn-fed. Defra's website states that the term "corn-fed" means the feed formula given during the larger part of the chicken's fattening period must contain at least 50% maize. A Tesco spokesman said: "The integrity of our food is our greatest concern at Tesco. "We conducted an immediate investigation and we have already determined that for a short time the farmer concerned inadvertently fed standard free-range feed - which does contain corn - to his chickens instead of the free-range feed that contains sufficient corn to satisfy Defra standards. "While this only happened for a short period of time, it is completely unacceptable to us and to our customers.

"We apologise for what appears to be a case of human error at a supplier that services different retailers."

Tom McGhie, Financial Mail - 27 May 2007

Strike may empty Tesco shelves


Leaders of Unite, the country's largest union, plan to ballot members next week in a dispute over changes in contracts for their members at Tesco's depot in Livingston, West Lothian. Livingston's Labour MP, Jim Devine, called for a one-day boycott of Tesco for threatening to sack drivers who refused to sign new contracts. The drivers, who earn up to 25,000 a year, walked out on Thursday and were due to return to work today. The union said the new contracts would mean workers losing between 3,000 and 6,000 a year and the derecognition of the union. The changes are being implemented during the move of the depot 500 yards down the road.

According to union organisers, only 25% of the normal consignments of groceries and supplies were leaving the Livingston depot as the strike started to bite. It also said that the prospect of a national ballot was very real. Ron Webb, the union's national secretary for transport, who was on the picket line at Livingston last week, said: 'As things stand, we'll be starting a national ballot of our members across the other distribution sites. 'Tesco is being hit by the Livingston strike and is in denial about what it is all about. We will start the national ballot unless the company commits to meaningful talks.'

Tesco denied that any drivers were losing their jobs and instead claimed that jobs were being created. It said that 450 of the 600 workers had accepted the deal. Distribution director Laurie McIlwee said that there would be no change to the contractual pay of any driver who moved from the old contract to the new one.




TESCO'S latest womenswear collection has come under fire for being too expensive and unfashionable, writes Teena Lyons. A report from analyst firm Piper Jaffray said that Tesco's prices were 48% more expensive than Asda's and 56% dearer than Primark's. It also said that the range was 'unable to fully interpret and exploit key fashion trends'. Tesco's Terry Green disputed the claims and said: 'We are looking at the more aspirational market.'

Hey, e t, any danger of you posting a positive story about this company?

Tesco's warning from US unions !!!

Read full article

Tesco Outperforms FTSE After Surprise Garden Center Bid

Link Here

You're obviously not tuned in -

"Sir Tom Hunter thought to be in last-ditch talks with rival retailers to see if he can find a way to scupper Tesco's 156 million takeover of Dobbies"

- which means, if Tesco wants Dobbies it will cost them a lot more than is presently on the table.

Sir Tom Hunter, the Scottish entrepreneur, is forming a consortium to mount a counter-bid for Dobbies

Read full article

He has also got a little time to mull his options. It is 21 days from last Friday to the first closing date for the Tesco bid.

TICK TOCK TICK TOCK :)

TESCO delivery drivers involved in a three-day strike earlier this month have done a U-turn and accepted new terms and conditions.

All of the 70 workers who refused to agree the new deal over fears that overtime and other payments would be lost changed their minds over the weekend and yesterday.

http://news.scotsman.com/edinburgh.cfm?id=917662007

I am a shareholder.

Tesco is a superb company with a social conscience and should be seen as the best example of food and other consumer goods retailing.

All shareholder should support the board and oppose any rediculous suggestion otherwise.

If only the politicians could run our govenment as wisely and efficiently.---If only.