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Retail technology reshapes checkout experience as job concerns grow

Retailers and fast-food chains in South Africa are increasingly rolling out self-service technologies — including smart shopping trolleys and digital ordering kiosks — aimed at speeding up the checkout process and improving convenience for customers.

While many shoppers welcome faster and more streamlined service, the growing use of automation has also sparked concerns that it could worsen unemployment, particularly among low-skilled workers who occupy cashier and counter positions.

South Africa is already grappling with a severe unemployment crisis. According to Statistics South Africa, the country’s unemployment rate currently stands at 33.9%, one of the highest globally.

Retailers say jobs are not at risk

Despite the concerns, retailers argue that the introduction of these technologies will not result in job losses.

Last month, Woolworths Holdings Limited launched a pilot for its Express Till system at its Foreshore store in Cape Town, aimed at providing customers with a quicker checkout option.

The retailer said the trial is intended to enhance convenience without replacing staff.

According to Woolworths, the initiative will not affect existing cashier roles. Instead, the company said it plans to focus on retraining and redeploying employees into other functions within stores as its service offering evolves.

The retailer added that the pilot responds to changing consumer behaviour, noting that many customers are increasingly comfortable with digital and self-guided shopping tools that allow them to complete purchases more quickly.

Other companies are experimenting with similar technology. Fast-food chain KFC introduced self-service ordering kiosks in its restaurants several years ago.

The company said the kiosks have not led to job cuts. In some outlets, new positions such as lobby hosts have been introduced to greet customers, assist them in the dining area and help those using the kiosks.

Employees are also given ongoing training to support customers using digital ordering systems, while continuing to receive operational and leadership training to support career progression within restaurants.

Meanwhile, Shoprite Holdings is testing smart shopping trolleys at two Checkers stores in the Western Cape — Checkers Hyper Brackenfell and Checkers Constantia.

The trolleys allow customers to scan products as they shop, pack their groceries immediately and pay directly from the trolley without needing to visit a traditional checkout.

Shoprite said the pilot was designed with employees in mind and that no existing roles have been negatively affected. The retailer noted that the project has created additional positions, including concierge assistants to guide customers, staff to help verify age-restricted purchases such as alcohol, extra security roles and centralised technology and data positions.

Labour unions warn of potential impact

Trade unions remain cautious about the long-term implications of automation in the retail sector.

Congress of South African Trade Unions spokesperson Zanele Sabela said that although technological change often brings new types of jobs, it can also displace many existing roles.

She warned that workers in lower-skilled positions — particularly those earning minimum wage — could face the greatest risk.

Sabela said that, historically, previous industrial revolutions have resulted in job losses even as new employment opportunities were created. Cashiers, counter staff and other in-store employees could therefore be vulnerable if automation becomes widespread.

For now, however, she noted that large-scale job losses linked to self-service technology have not yet been observed.

COSATU has urged its affiliated unions in the retail and fast-food sectors to remain vigilant to ensure employers do not introduce artificial intelligence or automation in ways that harm workers.

The Food and Allied Workers Union (FAWU) has also raised concerns, saying companies should consult labour organisations before implementing new technologies and invest in worker training and redeployment.

FAWU warned that automation can reduce entry-level job opportunities, which are often crucial for young and low-skilled people trying to enter the workforce.

While reskilling and redeployment programmes could help mitigate the impact, the union said these measures require a genuine commitment from employers.

Without clear and structured plans, FAWU cautioned that redeployment could effectively become a pathway to retrenchment.

The union also argued that South Africa, as a developing economy, cannot simply follow the technological path of more advanced economies without considering its unique labour challenges.

FAWU added that engagement between businesses and labour groups has often been reactive rather than proactive, stressing that workers should be involved in decision-making before new systems are introduced rather than being informed after the fact.

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