V&D, labour union talks end with no deal

Talks between the FNV workers' union and V&D store management ended Tuesday without an agreement on a wage cut deal the managers say is crucial to the store remaining open and regaining its financial footing. The two sides will now return to court on Monday unless a deal is worked out. While the store wants employees to take an average six percent wage cut, some workers will see a maximum of a ten percent cut, the union claims. The workers countered with a proposal closer to a two percent average cut. The store countered by offering the possibility of bonuses to workers if the retailer becomes profitable within the next five years, an idea that was met with skepticism by the labor union, broadcaster NOS says. V&D is owned by American private equity firm Sun Capital Partners. The firm is known for paying cash up front to buy their prospective businesses, and then leveraging debt against the acquisition's assets.