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Fruit picker confronts Tesco over breadline pay

By Martin Hickman, Consumer Affairs Correspondent
Saturday, 30 June 2007

A fruit-picker from South African condemned Tesco's labour practices in person at the company's AGM yesterday, claiming that workers such as herelf were receiving "breadline" wages.

Gertruida Baartman attended the annual meeting of Britain's biggest retailer as a shareholder after the charity ActionAid bought her a single share and flew her to London.

Ms Baartman, who is paid 38p an hour to pick apples, pears and peaches in Western Cape, protested about pay and conditions at the meeting last year. But she said yesterday that after speaking out then, she lost her job and was only re-hired after union intervention, despite assurances from Tesco that she would be protected from victimisation. At the Queen Elizabeth II centre in Westminster, she told\ investors: "It would take me four hours to earn enough money to buy a bag of Tesco pears that sell in the UK for £1.39. And I am not alone. Across the world many thousands of women and men work in similar conditions to me for breadline wages. Change only comes by speaking out against injustice."

ActionAid's Jenny Ricks said the fruit picker's story was typical of the treatment experienced by Tesco's army of foreign workers. "Tesco's drive for low prices has caused low wages, insecure employment and dangerous working conditions for thousands of women workers like Gertruida in its supply chains overseas," she said. "We would agree that investment in poor countries by companies like Tesco is vital to lifting people out of poverty. But women farm workers are not being paid a living wage. They are not getting enough to pay for the basics like food and schooling for their children."

David Reid, Tesco's chairman, promised Ms Baartman that she would not be targeted for her courage and that the group would look into its social and environmental auditing in South Africa.

But a spokesman later mounted a robust defence of the company's behaviour ­ which also came under attack from a War on Want resolution demanding independent auditing of foreign factories. The defeated resolution won the support of 10 per cent of shareholders.

Tesco insisted that the company had conducted ethical audits of its fruit suppliers and that farm workers were paid at rates set by the South African government. A spokesman said: "We think it is better for Tesco to be in South Africa investing in the local economy, working with farmers and creating jobs that otherwise wouldn't be there. Workers on our suppliers' farms are paid at least the minimum wage and that is one of the things that the ethical audits we have carried out will verify. The minimum wage is not imposed by us but by the South African government. We would hate to see anyone being exploited in the name of publicity. We believe the way you change things is through investment, not by making someone a cause célèbre."

Tesco's board also faced a shareholder revolt over executive pay that could enable its chief executive, Sir Terry Leahy, to collect £11.5m in shares. More than 16 per cent of Tesco shareholders opposed the plans for a long-term incentive scheme. The pay plans were passed.

Differing fortunes

Gertuida Baartman, 39

Paid 38p an hour to collect apples, pears and peaches in Western Cape. She is a widow with three children and works for six months a year when the fruit is in season. If it rains she can not work and has to beg for food. She struggles to feed her family and pay for school fees, books and uniforms. Her family are forced to live on bread and potatos. Gertruida lives in a two-bedroom shack with her children, her parents, disabled brother and sister's children.

Terry Leahy, 51

Appointed chief executive of Tesco in 1997 and is set to receive £11.5m in shares. The annual report revealed his salary rose from £3.9m to £4.6m last year. He grew up on a council estate in Liverpool and was educated at the University of Manchester. He was knighted in 2002 for his service to the food retail industry. Sir Terry lives in Cuffley, Hertfordshire, with his wife and three children where Tesco plans to open a new Tesco Express.

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