(The online newspaper) Shop employees find it deeply unfair that top managers receive high salaries and large bonuses, according to the LO confederation Handel og Kontor.
Nettavisen meets union leader Christopher Beckham in the LO building at Youngstorget. There, the strike weapon has been polished clean. Beckham is ready to fight.
in Strikefare
– Could there be a strike at Kiwi and Meny this year?
– It is clear that if the members do not get real wage growth, it can happen, says Beckham.
– Is there a real danger of a strike?
– That’s it. I am willing to vote for a strike if the members of HK do not get increased purchasing power, says Beckham.
See the response from the Norgesgruppen further down: – We shall not be the wage leader
Bonus of 3.6 million
This week the figures came out which showed that Norgesgruppen made a profit of 2.9 billion in 2022. Norgesgruppen owns Kiwi and Meny, among others. The result is the third best ever.
In addition, several other directors in the management group have salaries of between NOK 3.1 and 5.4 million, and also bonuses of more than NOK one million each.
Unmusical
– It is unmusical that managers grant themselves such large bonuses and such high salaries in the times we live in, says Beckham.
– The Norwegian group is doing very well, why shouldn’t the managers have a high salary and a good bonus?
– If it’s going so well, I think they should rather share more with the employees who are in the store and who meet the customers every single day, says Beckham.
Beckham believes that the work of the store employees is not properly appreciated.
– It is the people in the store who say “welcome to us in Kiwi” or “welcome to us in Spar” who create belonging to the convenience store and they are the ones who create the good customer experiences, says Beckham.
– I think we have to ask the question: Is Norgesgruppen satisfied with the employees? A large proportion of the employees have minimum wage rates, he says.
According to Handel og Kontor tjerner, the basic salary of an employee with the minimum wage in the Norwegian group is around NOK 450,000 a year. CEO Runar Hollevik earns 27 times more if you include his bonus.
Food prices have increased
Beckham thinks it is special that the large bonuses come at a time when food prices have risen sharply.
– These high executive salaries create noise. Large profits lead to large bonuses and large management salaries at a time when prices are rising. And then the question for the consumer is: Where does the money go? Why should we pay so much for these items? says Beckham.
– It is those in the till who have been slammed for high food prices, not the chief executive of Norgesgruppen. And now those in the till will probably get a bucket for paying out bonuses at the same time as food prices are still high, he says.
He believes that the large surplus of the Norgesgruppen should be used differently.
– In any case, some of this profit could have been given back to the customers in the form of lower prices and more wages for the employees who live on the minimum wage, says Beckham.
Rejects envy
– But what is the big problem for you. Is it that the bosses are paid well or is it that the employees are paid too little?
– I believe that this with bonuses is unfair. Those who create the bonuses are the ones out in the shop. She is the one in the meat counter, and she is the one who arranges the fruit counter at Kiwi as the values. And then there are some at the top who grant themselves bonuses. It is injustice set in the system, says Beckham.
– Do you think these salaries in the Norgesgruppen are higher than in other large companies? Why do you react so strongly?
– Prices have gone up. Consumers have less to buy for. And there will be large profits in companies where they say there are small margins. Obviously this is something people react to. And it’s not just my members who react, consumers do too, says Beckham.
Beckham asks the bosses to see the matter from the employees’ side.
– Most likely, it is not unfair to the bosses. They probably think so themselves. They are certainly available 24 hours a day. But my members want to have a salary to live on. They are not envious of the store manager’s salary or the CEO. That’s not what it’s about. My members live on minimum wage rates, says Beckham.
Norgesgruppen: – We shall not be the wage leader
Nettavisen has asked the director of communications in Norgesgruppen to comment on the move from Handel og Kontor. In an email to Nettavisen, Rømmerud writes:
“Our executive salaries must be competitive, but we must not be the wage leader in our industry. The managers’ basic salary adjustments follow the collective agreement.
Certain central management roles have a scheme for a long-term bonus which is determined by the board’s remuneration committee. It is up to 50 per cent of basic salary and is paid out two years later, on the condition that the group’s return on invested equity (ROCE) beats a benchmark.
This ensures long-term sustainability and that the company’s investments yield the desired return over time.”
Nettavisen has also asked the Norgesgruppen the following questions:
- How do you see Trade and Office saying there is a real risk of a strike?
- And what would you say to the claim that it is unfair that a large proportion are on the minimum wage?
Rømmerud answers as follows:
“We in the Norgesgruppen have great faith in and trust in the dialogue with the elected representatives and the cooperation between the parties in the business world. In the same way as Beckham, we hope for constructive cooperation, and that the negotiations are not resolved through conflict.
The dialogue with our shop stewards is constructive and orderly, and we believe that the parties will reach an agreement through constructive dialogue.”