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Metro AG is Europe’s second largest commerce enterprise, after Carrefour. On the world level, it is number four, after Wal-Mart, Carrefour and Kroger. Based in Düsseldorf, Germany, it consists of the following chains:

• Metro Cash & Carry wholesale hypermarkets. Present in 19 countries with a total of 337 Metro and Makro markets (in Europe, the Makro cash and carry markets belong to Metro), Cash & Carry employed an average of 56,090 workers (full time equivalents). With over 38 Billion German Marks (close to 20 Billion U.S. Dollars) last year, Metro Cash & Carry brought 44.4 per cent of the total Metro AG turnover. This is the really international part of Metro.
• Real retail hypermarkets. At the end of 1999, there were altogether 280 Real hypermarkets, 259 in Germany, the others in Poland and Turkey. In full time equivalents, the average number of workers was 36,534 of whom 4,963 outside Germany. In Germany, Real has not been as successful as the cash & carry chain and last year, measures were taken to correct this. Real is the part of Metro AG which Wal-Mart has been interested in and which would allow it to expand its present German superstore network.
• Extra is Metro’s chain of smaller supermarkets in Germany. Also department store chain Kaufhof remains in the home country.
• The Media-Saturn group in Metro’s electronics business, a highly profitable part of the group. Of its 276 Media and Saturn markets in Europe at the end of last year, 201 were in Germany. In Italy, 23 Media markets were established through a take-over. The other Media markets are in Austria, France, Hungary, the Netherlands, Poland, Spain and Switzerland. The number of Saturn and Media market workers was 16,402 as full time equivalents.
• Praktiker, Metro’s do it yourself markets, have not been a successful part of the group. Of the 319 Praktiker DIY hypermarkets at the end of 1999, 283 were in Germany. The others were in Austria, Greece, Hungary, Greece, and Turkey. Altogether 15,119 workers were employed in 1999, counted as full time equivalents.

During the recent years, Metro has grown through take-overs and been completely restructured. It has expanded from being a cash and carry wholesale company to being Europe’s second largest commerce company and Germany’s largest retailer. The latest major take-over was that of Makro’s cash and carry stores in Europe. The company is said to have an option for taking over also the non-European Makro’s, well established in Latin America and Asia. Through the closely linked Metro Holding AG, the group owns the U.S. cash and carry chain Jetro.

Metro has been strongly involved in all speculations about further concentration of global and European commerce. A merger with Carrefour has been discussed, as well as an alliance with Tesco. In July this year, discussions were apparently taking place with Wal-Mart about a sale of the Real hypermarkets or a take-over by the American commerce giant of the whole of Metro. The three major owner families, who between themselves control 2/3 of Metro shares, on 24 July denied the intention to sell and took direct control of the supervisory board. The top director of Metro since thirty years, supervisory board president Erwin Conradi, had to make room for a member of one of the owner families.

Labour relations at Metro have normally been correct, although major problems have been encountered in many countries.

In Germany, structural changes in the company have caused job losses, which the trade unions have tried to minimise. In Hungary, Uni Commerce has brought together the Metro management and the union leadership to try to resolve differences. In Turkey, the country management has conducted a union busting campaign against Uni Commerce affiliate Tez-Koop Is, which has been the subject for repeated interventions with the group management. A formal agreement between Metro, Uni Commerce and Tez-Koop Is on respect for trade union rights was concluded in October 1999, but has not been correctly implemented by the Turkish managers.

In 1999, at a meeting between Uni Commerce and the responsible personnel directors of Metro AG and all its chains, the company affirmed its full respect for workers and trade union rights, including the right to organise. With the support of the two German Uni Commerce affiliates DAG and HBV, an organising campaign was launched in Poland, the Czech Republic, Slovakia and Hungary. The pilot project with Uni Commerce affiliate Solidarnosc in Poland has been successful, several new Metro trade union locals have been established, and it is now being expanded to the other countries. The Metro AG personnel management has intervened several times in Poland, in favour of the right to organise. They also participated in the European social dialogue round table meeting in Warsaw in 1999, reiterating their commitment to respect workers’ rights.

Metro is present in the following countries (numbers as of 31.12.1999, workers in full-time equivalents):

Cash & Carry, 56,090 workers

Real, 259 hypermarkets, 41,497 workers

Extra, 511 stores, 14,346 workers

Kaufhof, 22,425 workers

Media/Saturn, 201 centers, 16,402 workers in Europe

Praktiker, 283 centers, 12,072 workers

Cash & Carry, 11 wholesale hypermarkets

Media/Saturn, 18 centers

Praktiker, 6 centers

Cash & Carry, 6 wholesale hypermarkets

Cash & Carry, 3 wholesale hypermarkets

Cash & Carry, 6 wholesale hypermarkets

Cash & Carry, 4 wholesale hypermarkets

France

Cash & Carry, 66 wholesale hypermarkets

Media/Saturn, 12 centers

Cash & Carry, 5 wholesale hypermarkets

Praktiker, 6 centers

Cash & Carry, 30 wholesale hypermarkets

Media/Saturn, 23 centers

Praktiker, 3 centers

Cash & Carry, 4 wholesale hypermarkets

Cash & Carry, 18 wholesale hypermarkets

Real, 19 hypermarkets

Media/Saturn, 23 centers

Cash & Carry, 7 wholesale hypermarkets

Cash & Carry, 4 wholesale hypermarkets

Media/Saturn, 11 centers

Cash & Carry, 6 wholesale hypermarkets

Real, 2 hypermarkets

Praktiker, 2 centers

Cash & Carry, 27 wholesale hypermarkets