Walmart's $2.4 billion takeover of Massmart is being appealed by South Africa's biggest service industry union.
The South Africa Commercial, Catering and Allied Workers Union (SACCAWU) said it had filed a notice of appeal with the country's Competition Appeal Court after Walmart’s takeover was finalised on 20 June.
"We are unhappy with the decision of the tribunal," said Lucas Ramatlhodi, a co-ordinator and secretary for SACCAWU. "The conditions it put on the merger are not binding and they are weak and too ambiguous."
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The deal was approved under the conditions that Massmart may not make job cuts for two years, it must honour existing labour agreements and work to develop local suppliers.
South African Unions however were left disappointed that more stringent limits hadn’t been put in place on using local manufacturers.
In a joint statement, Walmart and Massmart said: "This is not an unexpected development and the companies remain firm in their belief that the transaction rests on solid legal ground."
"SACCAWU's notice of appeal has no impact on the implementation of the transaction."