Giant expanded from 9,547 employees to 10,920; and BI-LO
experienced an increase from 22,006 to 22,741. In all cases, growth
resulted from the opening of new stores. At Finast, efficiency
improvements led to the reduction of jobs, which was compensated
by the opening of new stores.
The Mayfair chain's integration into Edwards resulted
in job duplication. Edwards' growth, however, partly due to its
acquisition of eight Rhode Island supermarkets, is allowing many
employees to find new positions within the organization. The
number of employees increased from 10,584 to 11,353. Conversely,
the closing of the Windsor Locks distribution center cost 550 jobs.
In close consultation with the unions, an agreement was reached
on e&rly retirement packages. A significant number of people were
helped to find new jobs, both within and outside of the organization.
Severance benefits were offered to all those losing their jobs.
Training and management development policy in 1995
aimed in particular at fostering inter-chain cooperation among
Ahold's US companies. Additionally, Ahold hopes to involve its US
managers more frequently in filling positions on other continents.
Efforts were made to intensify the cooperation among chains
regarding training programs.
Health care costs continue to rise, resulting in higher payroll
costs. Health care insurance premiums climbed a whopping 20%
in 1995.
As in The Netherlands, Ahold seeks to encourage its US
employees to participate in and profit from the company's financial
growth. At the end of 1995,4,316 employees in the United States
were Ahold stockholders, through a special Employee Stock
Ownership Plan.
The Netherlands - In The Netherlands, Ahold employed an average
of 52,534 people last year, a 2.7% decrease from 1994. Absenteeism,
including maternity leave, dropped from 7.0% to 6.5%. Turnover
rate among employees remained low. The number of new disability
claims declined (330 vs. 390 in 1994).
Restructuring at Albert Heijn, Institutional Food Supply
(GVA) and Meester led to internal redeployments. This enabled
the number of forced layoffs to be kept to a minimum. Sale of Albro
Bakeries was accomplished without loss of jobs as the employees
were retained by the new owners.
In the year under review, Dutch employers were required
to determine the proportion of minorities in their workforce,
to ensure that it fairly reflected the general composition of the
working population in each region. This survey confirmed the
adequacy of fair hiring practices at Ahold companies.
As a result of previously negotiated central labor agreements,
cost per employee increased, though overall payroll cost decreased
due to the reduction in number of employees. Discussions on
accepting more flexible working hours were held with labor repre
sentatives, but did not yet yield a new collective labor agreement
for supermarket employees. In March 1996 was such agreement
reached.
The Employee Councils received many requests for advice.
Repeated and constructive consultations were held regarding the
consequences of organizational change and structural adaptation.
The Central Employees' Council and the Corporate Executive
Board also discussed Ahold's strategy, revision of the profit-sharing
program, and new ways of working together.
Research has been done in cooperation with the Ahold
Management Personnel Association, on measures to promote
greater participation of women in management. Such measures
include better childcare arrangements, parental leave, facilities for
a women's career planning network, wider acceptance of part-time
positions, training and discussions on management development.
Bakery department in a BI-LO store.
Annual Report 1995 Royal Ahold 19
