Retail workers in Spain are intensifying their protests throughout the nation as recent reports indicate that hundreds of employees went on strike on Monday. This new wave of strikes is directed against the renowned fashion conglomerate H&M Group.
The strikes against H&M Group in Spain have entered their third consecutive day as employees show unwavering determination, refusing to halt their protests until their demands are met.
According to Ángeles Rodríguez Bonillo, a union leader, workers have endured stagnant wages for an extended period, making their situation increasingly unsustainable due to the challenging economic conditions and the rising cost of living.
Over 4,000 employees in Spain, employed across various brands of the Swedish multinational company, including H&M, Other Stories, and Cos, are demanding salary increases that align with the growing cost of living.
They are also protesting against increased workloads resulting from lay-offs during the COVID-19 pandemic. As a consequence of these strikes, approximately 100 stores have been forced to close.
H&M Group, headquartered in Stockholm, Sweden, operates a vast network of over 4,000 stores worldwide. With a workforce exceeding 105,000 employees, the company holds a significant presence across the globe.
As employees continue to stage walkouts and stores face closures, the retail fashion industry in Spain is bracing for a substantial blow. The businesses are experiencing a significant loss in sales, especially during the peak summer sales season when sales typically skyrocket.
Why workers are protesting in the retail industry?
The retail industry workers are protesting due to various factors. Firstly, the Russian invasion of Ukraine and the post-COVID-19 pandemic macroeconomic conditions have led to high inflation rates within the European Union.
In May, consumer prices in the European Union witnessed a year-on-year increase of 7.1%. However, it is noteworthy that Spain’s inflation rate remains one of the lowest among the 27 nations in the bloc, standing at 2.9%.
This has resulted in increased living expenses, especially for essential items and food, as people are forced to spend more money.
However, despite the rising costs of living, wages have not increased as anticipated. Businesses, in an effort to boost sales and profitability during the summer season, are reluctant to incur additional costs by raising wages.
Workers across Europe have been engaged in strikes and protests for several months, demanding wages that keep up with inflation. In Spain, negotiations between major unions (UGT and CCOO) and H&M Group recently collapsed, leading to a series of strikes starting on June 20.
These strikes have now been extended into the first two Saturdays of July. Mediation efforts are set to begin soon. During a 24-hour strike on Thursday, approximately 80% of H&M Group’s workforce in Spain participated, resulting in the closure of 100 stores.
The strikes are a response to concerns about a shift towards more precarious, part-time contracts in larger stores that also handle online orders. The European service workers union, UNI Europa, highlighted similar issues occurring in H&M’s home country of Sweden. H&M Group has not yet commented on the situation.
