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Coles Forced to Retract “False and Misleading” Claims
by shopper via sam - Coles Integrity Watch Monday, Apr 7 2014, 8:55am
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But where is perpetrator CEO Ian McLeod, to comment on the court decision? McLeod was/is DIRECTLY RESPONSIBLE FOR LANDING COLES IN THE FEDERAL COURT over a number of dubious, if not flagrantly dishonest, retail practices -- but he got his bonuses, so who gives a shit? McLeod stepped down from his position as CEO a few days before Federal Court proceedings and by so doing advertised to the world his lack of character and profound COWARDICE; we are certainly not surprised that this bonus-chasing, hit run, cowboy CEO is hiding behind his inept lower management team; he is tipped to take his money and run to the Middle East later this year, he certainly is a known sordid quantity in Oz and his position is becoming less viable by the day.
'Dishonest' CEO, Ian McLeod
Oz would be happy to rid itself of this destructive (to local food industries) opportunist con-man and COWARD -- the Arabs that have employed him in the Middle East would love him; McLeod may even convert to Islam! Oz has no place for self-seeking, cowardly dogs like McLeod, we require Aussie nationals to run OUR industries and not compromise the nation’s sovereignty and food sustainability for the sake of personal gain/bonuses.
Coles faces many more charges for breaches of local trade practices to be heard in the Federal Court. We shall keep you informed of developments and outcomes.
Coles to correct claims after admitting that its milk ad broke ACCC rules
by Karen Collier
COLES will correct claims about the impact of cheap milk on prices paid to farmers after an investigation by the nation’s consumer watchdog.
The supermarket giant has admitted an online video and cartoon promoted on social media last year was likely to have breached laws banning misleading or deceptive conduct.
The Australian Competition and Consumer Commission found the Our Coles Brand Milk Story campaign stated the average farmgate milk price had increased, when it actually dropped.
Unsubstantiated references to reduced retail margins and higher milk production were also used.
The campaign ran from February to May on YouTube, the Coles website and Facebook page at a time of intense public debate about the impact of the supermarket $1 milk wars.
“Coles represented ... that the farmgate milk price increased from 86 cents per two-litre bottle of Coles-brand milk in 2010-11 to around 90 cents in 2011-12, when in fact this was an estimate. Final industry figures showed the 2011-12 farmgate milk price actually decreased to 84 cents,” ACCC chairman Rod Sims said.
In a court-enforceable undertaking, Coles has vowed “not make misleading or deceptive representations in relation to the impact of reductions in the retail price for Coles brand milk on the farmgate milk price, Coles’ or processor margins on Coles brand milk, and/ or Australian milk production generally”.
Coles spokesman Jon Church said it believed the video’s key message on retail price cut funding was correct, but accepted “some of the supporting information was based on estimates which were subsequently updated and therefore could not be substantiated”.
The watchdog’s probe followed complaints from dairy farmer organisations.
Australian Dairy Farmers spokesman Karl Liebich welcomed the ACCC’s intervention.
“The milk wars have definitely hurt the profitability of farmers,” Mr Liebich said.
“As long as $1-a-litre milk is a reality the domestic industry will at best tread water. The only way to grow and survive is through increased exports.”
The ACCC said Coles had worked with it to resolve concerns, and would publish corrections.
Coles has since struck a decade-long deal with co-operative Murray Goulburn to supply Coles-brand milk in Victoria and NSW. The contract sees it deal direct with farmers, rather than a middleman.
© 2014 News Ltd
Wesfarmers Coles: A study in Systemic Failure and Structural Weakness
We have been following the strange case of a customer complaint against a supermarket mega-retailer in Australia and have witnessed one Aussie consumer push his/her unresolved complaints through lower then middle and ultimately to top management level, the CEO of Coles and the board of directors of parent Company, Wesfarmers, which are ultimately responsible.
The most notable aspect of this case is that a shopper was allowed to ‘reach’ the CEO of a company on the basis of an UNRESOLVED MINOR COMPLAINT which should have been easily and effectively resolved at the lowest level of management -- customer complaints!
However, the issue has become an ongoing saga now with a dedicated website which includes an open invitation to all dissatisfied consumers, staff and suppliers dealing with the clearly inept management team of Coles.
The issues raised by the now irate shopper -- which have persisted for two years -- are easily resolved and we are staggered by the fact that Coles’ managerial ‘mullets,’ are incapable of resolving the complaints to the very modest satisfaction of the complainant.
The initial, justified complaint the shopper brought to the attention of store management was the unavailability of fresh vegetables hours before late night closing; the store had undergone renovations including the installation of new gimmicky ice display trays upon which frost intolerant vegetables were, and continue to be displayed -- we are assured by growers and suppliers that the only two vegetables stored and shipped in ice are broccoli and brussel sprouts, all other vegetables are frost INTOLERANT and suffer rapid qualitative and nutritional decline with prolonged exposure to ice -- common sense dictates as much!
Ice exposure freezes the moisture content in cells, water expands when frozen and breaks down cell walls causing flaccidity loss of texture and depletion of vital nutrients -- a disastrous situation for any fresh food retailer, one which required immediate rectification one would think, notwithstanding it may be another dirty trick to increase turnover by reducing the storage life of fresh vegetables.
Store management explained that vegetables on ‘new’ ice display trays were removed to storage facilities prior to closing, after more than 14 hours exposure to the sub-zero temperatures of ice because cost cutting policies did no allow for staff to remove stock to storage at the appropriate time AFTER closing, as staff penalty rates would apply -- so good luck (and get fucked) late night shoppers! As anyone could appreciate, a totally unsatisfactory response for shoppers.
The situation escalated with threats to report the matter to head office Melbourne if the situation was not remedied; after further discussion and more reasonable requests the night manager (foolishly) decided to defame and slander the shopper by making a clear inference of drug taking by stating that a member of his staff informed him that police discovered illegal substances on the shopper while looking for ID after a hypoglycemic diabetic attack, which occurred in the store. This obvious and outrageous LIE, which defies logic, as it would have led to charges, failed to impress the shopper in the manner intended; a demand was then made to produce the heinous liar or the manager would bear the full consequences of this slur on the character and reputation of a shopper simply wanting to buy undamaged fresh vegetables -- the rest is history and ONGOING process; we refer readers to the dedicated website for detailed information of complaints, responses and email exchanges; however, it should be borne in mind how easily the original complaints could have been remedied -- something that Coles’ management has been UNABLE to adequately deal with to date, hence the ease with which a shopper was able to reach the CEO via Coles' initiative-devoid, reason-paralysed, group-terrorised, managerial team of inept cowards and an astonishingly WEAK and vulnerable organisational structure.
This site specialises in political matters and some readers may wonder why we chose to cover this saga. The answer should be obvious. Today’s corporate structures are run on formulas; group think is encouraged and initiative discouraged, it is a top down affair with the ‘top’ barely touching ‘ground.’ This results in yawning disconnect and little or no feedback from the ‘ground’ up -- ‘upper management knows best!’
Astute readers of this saga would immediately appreciate how very easily weak corporate structures (all corporates run on the same essential formulas) are subverted; the CEO in this instance has been exposed by the rigorous focus of only one Aussie shopper who succeeded in exposing the ugly facts about the questionable managerial style and lack of character of a bonus chasing, opportunist foreign CEO running an Australian company -- the CEO has landed the company in the Federal Court for numerous breaches of fair trade practices and other charges relating to dealings with suppliers, growers and transport drivers. The result is that his tenability in the global market place has been trashed and his true character exposed for the entire world to see -- now consider the above in view of the ease with which these simple issues could have been resolved by competent lower and middle management.
People are in awe of mega corporations and their power in the world today yet they fail to see past the marketing or ‘big propaganda sell;’ corporations and all large business concerns are very easily subverted and brought undone. The infamous HIH collapse is a very good example of how a very small group of clear thinkers brought a mega insurance company to its knees by informing the Chinese and other Asians how they could 'capitalise' on an internal STRUCTURAL WEAKNESS.
It remains plain fare to undermine any corporation and its upper management in any nation that has an (un-corrupted) independent judiciary, in fact, toppling polluting, spoiling and less than honest mega-corporations is simplicity itself.
Latest email UPDATE to Coles 'customer care':
Dear Mr Waterreus,
I almost forgot to update you on the latest publication (with analysis) dealing with your personal tragedy and company dilemma.
http://jungledrum.hopto.org/news/story-1087.html
The simple reason you have not been able to deal effectively with the matter is because you have been given a 'losing hand' (with a pat on the head) by upper management -- it confirms certain points raised in the analysis that lower management that lack initiative and the courage to remedy obvious problems against the mistaken dictates of upper management indeed place a company at grave risk. What a thoroughly tragic, inept, gutless, dunce you really are, Mr Waterreus; your options were clear and you failed to chose the correct course in the hope that 'toeing a perverse line' would protect your position. In fact the opposite is true because you failed to consider that you would be the expendable fall guy, Mr 'gutless dunce' Waterreus -- do you imagine that some ego-infatuated upper manager would accept responsibility when disposable chumps like you exist?
Rather than feebly attempting to make excuses for existing problems without drawing the matter to the attention of the highest management levels, you chose the cowards course and will no doubt pay the price for your appalling lack of character; it is clear you share the malaise which infects your entire managerial team; however, it is cold comfort to rely on known negative group-think in the knowledge that the situation is unravelling before your eyes. Your CEO has proven himself to be a sordid character and coward and yet you fear him and his flunkies when it is obvious that a man with initiative could have won the day and possibly a promotion by assassinating those managers that defied reason and would jeopardise the company. You clearly missed your chance and failed in your duties; your head would now be the first to roll in any necessary re-structure.
In view of coward MD McLeod jumping ship at a critical time, Coles' management now finds itself in iceberg-laden (ACCC) seas without a rudder -- I could have predicted as much after assessing his sordid character!
In consideration of your current untenable position, Mr Waterreus, I offer the following free advice -- DEAL WITH IT!
Threaten to take the matter to the top, internally or EXTERNALLY if necessary; it remains a crime in Australia to consciously defraud the public by knowingly reducing the storage life of stock to increase turnover/profits.
Please be advised that this email will be published in the public interest and forwarded to the ACCC, you very stupid man!
Yours sincerely,
L Lindsay
Ultimately Responsible
http://colescomplaints.zapto.org/news/story-50.html
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