SYDNEY, Australia – Woolworths CEO Brad Banducci has announced his resignation amidst growing scrutiny over the supermarket giant’s alleged price-gouging tactics. The pressure on Banducci intensified after a widely criticized interview this week, where he walked out on a reporter in response to tough questioning.
Australia has one of the most concentrated grocery markets in the world, with Woolworths and its rival Coles controlling 65% of the market. Both companies have faced intense criticism over their business practices as the country grapples with a cost-of-living crisis.
In a statement to the Australian Stock Exchange on Wednesday, Woolworths Group announced that Banducci would retire in September. The 59-year-old has spent 13 years at the company, serving as CEO for eight of those years.
The company’s board chair, Scott Perkins, praised Banducci, saying, “History will judge Brad to have been one of [the firm’s] finest leaders.” Woolworths Group also announced that Banducci will be succeeded by the company’s head of e-commerce, Amanda Bardwell.
Woolworths Group, which owns various businesses in Australia and New Zealand, reported a half-year profit of A$929m, driven in part by growing margins in its food businesses. However, the company also recorded a loss of A$781m due to write-downs in the value of two of its businesses.
The supermarket chain’s troubles have been compounded by multiple parliamentary inquiries and an investigation from the nation’s competition watchdog over pricing practices. An investigation aired by the Australian Broadcasting Corporation accused both Coles and Woolworths of price-gouging and unfair dealings with suppliers and farmers.
Banducci’s abrupt exit from an interview and the company’s ongoing troubles have raised concerns about the practices of major supermarket chains in Australia, sparking discussions about the need for increased scrutiny and regulation within the industry.