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2024-04-18

Sunday shutdowns loom for Germany's automated stores after union victory

In a clash between centuries-old labor traditions and rapidly evolving retail technology, Germany's highest administrative court has ruled that automated, cashier-less convenience stores must obey the country's Sunday closing laws - a potential major setback for the fledgling unmanned retail sector.

The landmark decision came in a legal dispute initiated by the Verdi service workers' union against supermarket chain Tegut, which operates around 40 fully automated minimart locations across Germany. Verdi argued that allowing such robotic stores to remain open continuously, even without human staff, would undermine longstanding worker protections and the principle of Sunday rest.

 

 

In siding with the union's demand, the Supreme Administrative Court of Hesse state invoked Germany's constitutional enshrinement of the centuries-old "Sunday peace" concept rooted in Christian tradition. This provision, dating back to 1919, permits only limited exceptional operations on the traditional day of rest.

"The ruling aims to protect workers' interests and preserve Sunday as a shared day off," said Verdi representative Orhan Akman. "Stores like Tegut's may be automated, but they still represent a degree of commercial activity that the law intended to restrict."

Blow to Unmanned Retail Experimentation For Tegut and other German retailers experimenting with unmanned, automated stores, the ruling represents a major setback. The minimart format allows shoppers to enter unstaffed locations using a mobile app, scan items' barcodes, and automatically check out - with onsite robots restocking shelves and monitoring security.

Thomas Steb, a Tegut board member, blasted the ruling as disconnected from technological reality, dismissing the robotic stores as mere "vending machines." He claims the Sunday operations account for 25-30% of weekly unmanned store sales.

"This decision is completely grotesque when you consider these are fully automated facilities without any human workers involved," said Steb. "We have been operating successfully for years without any negative consequences for employees whatsoever."

The union countered that a legal accommodation for unstaffed stores could spur other retailers to seek looser Sunday policies, further eroding hard-won worker protections. Germany has long restricted Sunday operations for conventional retail stores.

Seeking A Legislative Exemption In the wake of the ruling against Tegut, Hesse state officials indicated they may pursue a legal exemption carving out automated retail from Sunday closure rules. The unmanned format remains a promising area of innovation for major German grocery chains like Aldi exploring new checkout-free, contactless shopping options.

Across Europe and North America, unmanned stores powered by computer vision, sensor fusion, and advanced AI have proliferated as retail chains race to achieve full automation through Amazon-style "just-walk-out" shopping experiences.

But as the German case demonstrates, the spread of automation into physical retail is increasingly butting up against deeply-rooted societal norms and labor laws - setting the stage for more legal and ethical clashes as unstaffed stores become ubiquitous.

"These stores raise questions over whether traditional restrictions on Sunday retail activity still make sense when no human labor is involved," said retail technology analyst Markus Neumaier. "Lawmakers will have to carefully weigh the competing factors of innovation, worker protections, and society's relationship with technology."

The upcoming court battles and potential regulatory reconfigurations may ultimately determine the pace of automated retail's continued encroachment into one of society's last untouched technological fronts - the day of rest.

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