Sainsbury’s and Asda are in “advanced discussions” regarding a possible merger, which would create a group of up to 2,800 stores.
The move would, if approved, give the new combined company control of just under 30% of the UK grocery sector and stun rivals including Tesco and Morrisons.
It has been reported that the brand names would remain, at least initially.
I know it’s not a done thing yet but, should/when it happens how do you think it will affect driving jobs within these two companies??
Having been through various take overs and mergers while working in store I can’t see any hope of this getting through the competition laws, not without selling a huge number of stores
Agreed kc, as the following, within the same article, suggests. (the last bit about the EC made me laugh, they might want to wait until after Brexit 
)
Any merger would likely prompt a review from the Competition and Markets Authority (CMA), which regulates major business deals to ensure fairness.
The CMA would not comment on whether it had been informed of talks between Asda, Walmart, and J Sainsbury plc.
The size of the tie-up, including the combined turnover and market share, is likely to prompt a CMA review.
A source told HuffPost UK that the watchdog would need to consider whether any deal had an international element and if so, the proposal could be probed by the European Commission.
kcrussell25:
Having been through various take overs and mergers while working in store I can’t see any hope of this getting through the competition laws, not without selling a huge number of stores
The same thing happened with Safeways that’s why a relatively small (at the time) group like Morrisons won it in the end. theguardian.com/business/20 … ets.uknews
Reef:
kcrussell25:
Having been through various take overs and mergers while working in store I can’t see any hope of this getting through the competition laws, not without selling a huge number of storesThe same thing happened with Safeways that’s why a relatively small (at the time) group like Morrisons won it in the end. theguardian.com/business/20 … ets.uknews
I worked for Morrison’s at the time. They had roughly only 25% of the number of stores that Safeway did if my memory is correct and were very much 5th in the market at the time. It was only that purchase that made them part of the big 4. They also had to sell on roughly 130 stores, again memory not 100%.
This is a potential merger between the 2nd and 3rd biggest which would give a similar size to Tesco. This would then give the 2 companies a 60% market share (subject to how many stores they are required to sell. I just can’t see it being allowed. Morrison’s will certainly complain, as I expect will aldi and lidl.
On a side note of the Morrison’s/Safeway deal the actual story in store was sir Ken didn’t want to buy the whole company and expected it would be split between them and the other 3 but ended up with it all. It was then down to this not being planned for as well the Morrison’s “culture” of the time which took so long to get it under control
pierrot 14:
Sainsbury’s and Asda are in “advanced discussions” regarding a possible merger, which would create a group of up to 2,800 stores.
The move would, if approved, give the new combined company control of just under 30% of the UK grocery sector and stun rivals including Tesco and Morrisons.
It has been reported that the brand names would remain, at least initially.
I know it’s not a done thing yet but, should/when it happens how do you think it will affect driving jobs within these two companies??
Interesting times ahead hopefully I’ll keep me job as I’m very happy there but time will tell but not overly keen on being employed by DHL !!
What I posted earlier, I found on the internet. But it has just been announced on the ITV news
Probably explains the drop in quality of Sainsbury’s stuff.I’ve given up on their previously superb pork products for example from bacon to ham to loin roasting joints.It’s now a case of would you like some over lean bacon and ham with all the salt and too lean ham and pork which is tough enough as a result to make truck tyres out of.Also stopped the ham on the bone on the deli counter in favour of only foreign moulded plastic looking muck.Their smoked salmon is similar too dry and salty and don’t even bother with their rib eye beef to make stroganoff now and who knows what happened to the delicious white crab meat when it’s now a case of also having to take a load of the dark zb which should go for cat food or leave it.Then you get to the check outs and find them all closed with no one to staff them except for one.If I wanted cheapo Asda quality and service that’s where I’d go to shop.
I would think the government monopolies commission might have something to say about this, ASDA is Walmart which as we all know is a US owned company. Sainsbury’s are a British company and own ‘Shaws’ which is a US supermarket, they even have the same slogans as Sainsbury’s use. It would mean Walmart forming a huge chain and hold a lot of power over smaller UK chains, they would without doubt be the worlds largest supermarket group. Remember the trouble caused when Kraft took over Cadbury’s and broke every promise they made to not move jobs out of the country ?
It goes both ways … Unilever which is mostly a British company with a large Dutch share has taken over family names in the USA, Ben & Jerry’s for instance has been taken over by Unilever and have changed the company from a trusted and top quality product to changed flavor because they have chosen to use cheap ingredients.
I think about possible merger long time ago.But my forecourt was who Saisbury and Morrison can merger.
If this happened that to many lorry drivers can lost job.And not just who work for Asda or Saisbury but as well to many supplyers drivers.
It seems Walmart want to offload Asda to Sainsburys who are in bed with Argos.
Even those together, the market share of around 30% compared to Tesco’s 27% leaves a lot of room for Morrisons to take on duplicated Asda and Sainsbury’s stores or the smaller stores.
LIDL ALDI to merge as Dilly Dilly
Pat Hasler:
I would think the government monopolies commission might have something to say about this, ASDA is Walmart which as we all know is a US owned company. Sainsbury’s are a British company and own ‘Shaws’ which is a US supermarket, they even have the same slogans as Sainsbury’s use. It would mean Walmart forming a huge chain and hold a lot of power over smaller UK chains, they would without doubt be the worlds largest supermarket group. Remember the trouble caused when Kraft took over Cadbury’s and broke every promise they made to not move jobs out of the country ?
It goes both ways … Unilever which is mostly a British company with a large Dutch share has taken over family names in the USA, Ben & Jerry’s for instance has been taken over by Unilever and have changed the company from a trusted and top quality product to changed flavor because they have chosen to use cheap ingredients.
Walmart already are a huge chain and the world’s largest supermarket group. It’s being reported over here as Sainsburys being very much in the driving seat for this deal which would lead one to conclude that Walmart are looking to offload Asda either wholly or partly. It’s almost certain the combined business wouldn’t be wholly owned by Walmart
Carryfast:
Probably explains the drop in quality of Sainsbury’s stuff.I’ve given up on their previously superb pork products for example from bacon to ham to loin roasting joints.It’s now a case of would you like some over lean bacon and ham with all the salt and too lean ham and pork which is tough enough as a result to make truck tyres out of.Also stopped the ham on the bone on the deli counter in favour of only foreign moulded plastic looking muck.Their smoked salmon is similar too dry and salty and don’t even bother with their rib eye beef to make stroganoff now and who knows what happened to the delicious white crab meat when it’s now a case of also having to take a load of the dark zb which should go for cat food or leave it.Then you get to the check outs and find them all closed with no one to staff them except for one.If I wanted cheapo Asda quality and service that’s where I’d go to shop.
But I bet you continue to buy their stuff.
bald bloke:
pierrot 14:
Sainsbury’s and Asda are in “advanced discussions” regarding a possible merger, which would create a group of up to 2,800 stores.
The move would, if approved, give the new combined company control of just under 30% of the UK grocery sector and stun rivals including Tesco and Morrisons.
It has been reported that the brand names would remain, at least initially.
I know it’s not a done thing yet but, should/when it happens how do you think it will affect driving jobs within these two companies??
Interesting times ahead hopefully I’ll keep me job as I’m very happy there but time will tell but not overly keen on being employed by DHL !!
The only sainsburys rdc I know of that’s run by DHL is Stoke pretty sure the rest are all run by someone else like Wincanton or someone else. I could be wrong of course but it’s the only one I personally know of that’s run by DHL.
Carryfast:
Probably explains the drop in quality of Sainsbury’s stuff.I’ve given up on their previously superb pork products for example from bacon to ham to loin roasting joints.It’s now a case of would you like some over lean bacon and ham with all the salt and too lean ham and pork which is tough enough as a result to make truck tyres out of.Also stopped the ham on the bone on the deli counter in favour of only foreign moulded plastic looking muck.Their smoked salmon is similar too dry and salty and don’t even bother with their rib eye beef to make stroganoff now and who knows what happened to the delicious white crab meat when it’s now a case of also having to take a load of the dark zb which should go for cat food or leave it.Then you get to the check outs and find them all closed with no one to staff them except for one.If I wanted cheapo Asda quality and service that’s where I’d go to shop.
I somehow doubt Sainsburys management thought ‘great, now we are talking to Asda we can lower standards!’ Personally I find Sainsburys as good as ever, maybe you’ve just got a bad store
switchlogic:
Carryfast:
Probably explains the drop in quality of Sainsbury’s stuff.I’ve given up on their previously superb pork products for example from bacon to ham to loin roasting joints.It’s now a case of would you like some over lean bacon and ham with all the salt and too lean ham and pork which is tough enough as a result to make truck tyres out of.Also stopped the ham on the bone on the deli counter in favour of only foreign moulded plastic looking muck.Their smoked salmon is similar too dry and salty and don’t even bother with their rib eye beef to make stroganoff now and who knows what happened to the delicious white crab meat when it’s now a case of also having to take a load of the dark zb which should go for cat food or leave it.Then you get to the check outs and find them all closed with no one to staff them except for one.If I wanted cheapo Asda quality and service that’s where I’d go to shop.I somehow doubt Sainsburys management thought ‘great, now we are talking to Asda we can lower standards!’ Personally I find Sainsburys as good as ever, maybe you’ve just got a bad store
Maybe he should complain to the store manager and receive some vouchers I bet he wouldn’t complain then.
I can’t see this being allowed, personally.
All the blab about “Advanced talk stages” is to attempt to fob off the public that the MMC (now CMA?) are already bypassed.
Unless they have disbanded, then they are NOT bypassed here at all, of course.
Merging to “take on Tescos” is hardly in the Consumer interest. Tescos have deals that the other two don’t bother with, so anything that bashes down Tesco - would be looked at very dimly as a main motivation for allowing two already large supermarkets from “doing a merger”. 
Of course it will happen the family & bank of Rothchild are fronting the deal for War-Mart and we have 25% Qatari owned Sainsbury on the other side…meaning the powers above have already cut a deal and the little man (us) will get fed something that we can understand and accept…sell a few stores to the competitors similar how Tesco, Asda & Sainsbury picked up the scraps from the Morrison/Safeway deal back in the day.
Headoffice of Asda in Leeds would eventually have had to be relocated when HS2 passes through it so makes sense to shut down that site and reduce the wage bill and move the tasks to the Sainsbury HQ. All IT is linked to War-Mart for ASDA so all this needs to be severed and reconfigured with links to Sainsbury systems.
Branding is important so the name of Asda & George is something that would never be lost with independent stores and certainly with George being so much more established than Sainsbury clothing TU label. However as George is integrated within Wal-Mart across their world markets (China, Canada, US, Turkey, Bangladesh, Sri Lanka to name a few) so not sure how this would be decided.
Distribution centres would certainly be under one business unit so can see some reductions across the board. Closures of heavily unionised depots would certainly happen and consolidated and the new ASDA initiatives like the fully automated depot in Warrington, the new scheme of “to you” delivering and returns of third party running from Rochdale and the new dot com warehouses down would certainly have a cost benefit eye scrutinised on its viability.
Can’t see that happening. “Home Delivered Food” is running nowhere near as efficiently as it would need to run to make it the “Amazon of Supermarkets”.
Meanwhile, Tescos have already taken over Booker, and who’s getting their stuff delivered by already-on-line Acado already?
It’s got more teething troubles than Skeletor laughing, as it stands.
“Too many susbtitutes, upsetting too many customers” me, among them