Competition, as far as Auchan is concerned, does not come from foreign markets only, but also from Romania, where plants open new assembly lines and look for workers.
“The labor market in Romania has reached a certain maturity now and we are seeing it especially in counties like Cluj, Timis and Sibiu. There are more cities in this position, and one such example is Deva, where we have trouble finding employees,” the officials of Auchan say.
The retailer has 33 stores in Romania, which generated EUR1 billion revenue last year, and is one of the most important retailers on the local market. It is also one of the biggest employers. Out of its 10,500 local employees, 7,500 work on cashier and store clerk jobs, which are paid some of the lowest wages in the economy. Competition on the labor market and minimum wage raise to 1,200 lei (almost EUR270), led to an increase in the retail wages, as well.
“We raised wages by 25% last year. An employee starts with RON1,300 in gross amount, and after a trial period gets RON1,400 and then RON1,500 after one year.” (EUR1=RON4.4534)
(English version by Loredana Fratila-Cristescu)