Saturday is the day of truth: The second attempt at a major reform at Migros

However, the approval of Migros delegates is required to shrink this body, which corresponds to the board of directors of a joint stock company. This has met resistance so far. The hundred-member Migros Council did not accept the original proposal at its last meeting on September 9, 2023; The proposal failed due to the two-thirds majority required.

New offer: Irminger is “recommendatory” only

According to Bilanz’s report at the time, the delegates were, among other things, disturbed by the fact that Migros boss Mario Irminger (official title: General Manager of the Migros Cooperative Union (MGB)) would take on this task. He was appointed as vice chairman of the board of directors at New Supermarket AG and was also assigned to the management of Migros. The delegates felt there was too much concentration of power and vetoed it.

It looks like the delegates’ criticisms have now been heard. According to Migros’ statement, the new proposal will be adapted to Saturday, November 11: “In the new proposal, the President of the MGB General Directorate is no longer a member with voting rights in the management, but participates in the meetings with an advisory vote.” Therefore, just as the delegates wanted, Migros conveys this and tries to soften things. and hopes to pave the way for the new organisation: “This corresponded to ‘good corporate governance’ and was desired by the delegates.”

Whether this is sufficient for the Migros Assembly will be seen at the meeting on November 11.

Upgrade Latin Switzerland

While the previous aim was to reduce the number of members of the administration from 23 to 14, now it is about to be reduced from 23 to 13. In addition to President Ursula Nold, the committee will include five external representatives, five regional cooperative representatives and two employee representatives.

Foreign missions must also have “at least one external member coming from Latin Switzerland”. The aim of this is to ensure that the concerns of small cooperatives are given greater attention. In terms of sales, the cooperatives in Zurich, Aare, Eastern Switzerland and Lucerne rank first among Migros’ ten cells; at the lower end are the cooperatives of Neuchâtel-Freiburg, Valais and Ticino.

Time is very important for Migros

The company is counting on the support of the delegates to officially put the new supermarket unit into operation at the beginning of 2024. Time is running out. Migros is in danger of losing its shell in its supermarket business. Despite the population growth in Switzerland, Dutti’s heirs have not been able to benefit from the recent increase in the number of consumers.

Sales of individual cooperatives fell in 2022. In addition, discounters are expanding their presence in the country and are among the winners of the post-Corona inflationary period. Mario Irminger, the new boss of Migros, knows very well the fact that he openly admitted in an interview with “Blick” and extended the period further: “We have been losing serious market share in supermarkets for ten years.”