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Quick Takes: March 18, 2008
  

Grocery Chain Shelves Turnover, Theft


Loblaw toughens background checks, engagement strategies.
By Garry Kranz

Criminals Need Not Apply: Loblaw Cos. is “weeding out prospective employees” who have criminal records as one part of a strategy to tackle a problem of an estimated $1 billion worth of goods “disappearing from stores because of theft or mismanagement,” according to the Toronto Globe and Mail.

Loblaw is the largest operator of supermarkets in Canada, with about 1,500 stores that operate under a variety of names. Thus far in 2008, Brampton, Ontario-based Loblaw has rejected 7.5 percent of people applying for jobs because they had criminal records, according to the article, which quotes COO Dalton Philips. Boosting employee engagement also is on Loblaw’s agenda. Philips reportedly wants to reverse “massive” turnover by offering training to employees, as well as introducing a 10 percent employee shopping discount aimed at boosting their engagement and inculcating an attitude of stewardship.

Loblaw is one of Canada’s largest private employers, with nearly 140,000 full-time and part-time workers. Loblaw’s operating profit is on a downward slide, though, triggering its stock price to plunge from $50 a share last summer to about $30 a share in February.


Workforce Management contributing editor Garry Kranz is based in Richmond, Virginia. E-mail editors@workforce.com to comment.


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