November 18, 2004

Food and Commercial Workers’ President Takes Action to Protect Colorado Supermarket Workers

The United Food and Commercial Workers International Union (UFCW) is taking action today to prevent three supermarket giants from forcing employees to give up their health benefit plan.  The loss of affordable health benefits could leave UFCW members and their families on the brink of economic crisis.  UFCW International President Joe Hansen announced today that he has permanently blocked the company proposals presented on November 1, 2004, from Safeway, King Soopers and Albertsons.  Hansen also issued an immediate call for the Federal Mediation and Conciliation Services to bring the parties back to negotiations and work toward the best possible contract for Colorado supermarket workers.

“We are in a new era of national bargaining with the three supermarket giants — Safeway, Kroger and Albertsons.  Our actions today are focused on one clear goal: protecting health benefits and securing the best possible contract for supermarket workers.  We are moving to put the collective bargaining process back on track to resolve this situation without sacrificing affordable health care,” said Hansen.

In a letter to UFCW Local 7 and the three supermarket companies, Hansen wrote: “I have now completed my review… and find that the proposals to end the jointly administered health and welfare plan…and the failure to cover additional stores…under the contract…could be injurious to our members.”

The companies’ proposal to move employees to a company-controlled health insurance plan would threaten affordable health care for tens of thousands of workers.

• Under the employer proposed company insurance, new hires would see drastic cuts in coverage and current hourly supermarket workers would face escalating premiums that would make quality family health coverage unaffordable.
• Historically, jointly-administered union and management health benefit trust funds have provided higher quality coverage for lower costs than if the employers purchased insurance on the open market.
• The employer demands would force workers to abandon any sense of security or voice over their health benefits and puts all control over cost and coverage into the hands of the supermarket companies.
• Employee pension coverage also risks serious cuts under the employers’ proposal.

“UFCW members have proven that we have the strength and determination to hold the line against employer attacks on health benefits and we will do so again if we must.  But, it is my obligation to make sure we have exhausted every possible option at the bargaining table and elsewhere before asking UFCW members to sacrifice on the picket line in order to protect affordable health care,” continued Hansen.

Further, the supermarkets’ demands to deny union representation to workers at new or expanded stores could leave hundreds of new supermarket employees in our communities without job security, workplace protections or a voice on the job.

Through the federal mediation and conciliation process, the UFCW International Union has been able to reach settlements across the country including ending the four and a half month long strike in Southern California.

The 1.4 million-member UFCW is America’s neighborhood union representing workers in neighborhood grocery stores across the country. UFCW puts dinner on the table for America’s families with members working in meatpacking and food processing. UFCW gives a voice to care with representation for nurses, medical technicians and nursing home workers.

November 9, 2004

Colorado Supermarket Contract Voting Halted

UFCW International President Joe Hansen

Joseph Hansen, International President of the United Food and Commercial Workers International Union (UFCW), exercised his authority under Article 23(A) of the International Constitution to halt voting on the offer presented on November 1, 2004, from Safeway, King Soopers and Alberstons to more than 13,000 UFCW members represented by Wheat Ridge, Co., Local 7.

Article 23 (A) of the International Constitution gives the International President the right to review any proposed contracts prior to any membership action on the proposal.  The purpose of Friday’s action is to give the International President the opportunity to assess the potential impact of proposed contract provisions on other UFCW members across the country and to see if they meet the established objectives relating to wages, benefits and working conditions. Following the International President’s review, he could either opt to restart or suspend (cancel) Colorado member voting on the existing proposal.  In the event that voting is restarted, ballots cast prior to Friday’s action would be counted.

“The supermarket chains bargaining with Local 7 in Colorado are large national corporations. Consequently, their proposals have national ramifications for our members,” said International President Joe Hansen. “I owe an obligation to all UFCW members working in the grocery industry to fully review the current proposal to determine whether or not it would be injurious to them.”

The UFCW International Union remains hopeful that ultimately an equitable solution can be reached between the parties.

October 28, 2004

Communities Back UFCW Members

UFCW members aren’t alone in the fight for affordable health care, as an overwhelming percent of supermarket shoppers surveyed side with their local grocery store workers on employee concerns. The community support is echoed in two recent surveys of grocery shoppers, one conducted in Colorado and one in Washington State.

Both surveys reinforce what UFCW workers already know:  communities stand behind workers when it comes to workplace issues, especially health care.  The large majority of shoppers agree that grocery store employees “deserve to have affordable health care.”  Most shoppers (85%) believe that major supermarkets like Albertsons, Kroger and Safeway are very profitable and have a responsibility to provide workers with affordable health care benefits.

Over 80% in the Washington community said they would support workers on strike if management threatened to eliminate health care benefits.  The majority also said they would sympathize with grocery store workers on strike over the employers even if they knew very little about specific bargaining issues. Most shoppers would go out of their way to shop at another store if their local grocery store had employees on strike.

Economic studies show that when large corporations take away or reduce their employees’ health benefits, taxpayers take on the increased costs for workers because more workers are forced to utilize publicly-subsidized health services.  More than two-thirds of shoppers surveyed agree that the responsibility for health care cots would indeed float to taxpayers.  Even more shoppers agree that workers end up paying for extravagant corporate executive compensation and bonuses.

Last summer, UFCW members in the Puget Sound, Wash. area visited their local communities and informed residents about what was happening at the bargaining table during their contract negotiations.  UFCW members collected “don’t shop” pledges from the public if the employers insisted on eliminating affordable health care benefits.  They participated in marches and rallies that kept bargaining issues at the center of the public’s attention, and moved elected officials to write letters in support of grocery store workers and voice those opinions to the media. Mobilizing in neighborhoods and solidifying support among community members put key pressure on the grocery stores, ultimately helping 18,000 UFCW members in Puget Sound settle a fair contract.

The survey in Colorado was conducted by TKG Research in August and identified perceptions of worker issues, while the survey in Washington, taken by the Evergreen Research Group in January, recognized early attitudes toward grocery workers, management and possible strikes.

July 8, 2004

Community Mobilization Secures Health Care for ACME Workers

Health care for working families is not just a workplace concern – it’s a community concern. More than 3,000 workers at Acme Supermarkets in South Jersey faced the threat of cuts to health benefits when their contact expired at the end of April. The members of the United Food and Commercial Workers (UFCW) Local 1360 reached out to local religious leaders, elected officials and union members for support that helped secure a new contract that protected health benefits for workers and their families.

Acme is owned by Albertsons, a national chain that forced tens of thousands of its Southern California workers into the streets for nearly five months to fight back against the employers’ draconian demands to eliminate health benefits for workers. Acme workers and supporters in South Jersey supported the California strike/lockout by mobilizing customers and raising public awareness of the struggle facing supermarket workers across the country.

When bargaining began in South Jersey, Acme faced a room full of religious leaders, labor supporters and other UFCW local unions along with representatives from UFCW Local 1360. The message was loud and clear: we stand united to protect health benefits for Acme workers.

“This contract proves that solidarity works. UFCW local unions working together with other unions and, most importantly, community and religious leaders made sure Acme and Albertsons understood that we will hold the line for health care,” said International Vice President and Regional Director Mark Lauritsen.

The new five-year agreement:

• Maintains health care for workers and retirees;

• Improves worker retirement benefits; and

• Increases wages, including higher starting rates for new employees

UFCW members are currently bargaining with Albertsons, Safeway and Kroger in the Pacific Northwest where the contract covering nearly 20,000 workers expires this month. In September, nearly 50,000 workers at the same three supermarket chains in Northern California will head to the bargaining table with similar resolve to hold the line for health care.

April 26, 2004

Kroger Risks Revenue Hemorrhage With Attack On Worker Health Benefits

Workers In Houston, Cincinnati, Louisville, Las Vegas, Northern California, Denver, Seattle And Detroit Mobilize For Fight To Save Health Care

Kroger stockholders were recently stunned when the company forked over more than a $100 million to the supermarket operator’s leading competitors as a payoff from the more than 4 month long Southern California grocery strike. Waging war on workers’ health benefits doesn’t come cheaply, and the nation’s largest supermarket chain had to pay the bill after it agreed to cover its competitor’s losses when it joined with Safeway and Albertsons to take on 70,000 Southern California members of the United Food and Commercial Workers Union (UFCW) in a fight over affordable health care.

Kroger did not limit its revenue loss to California. It also sent workers into the streets and its customers off to its competitors when it forced a strike over health benefits in West Virginia last year. Now, Kroger is risking a revenue hemorrhage as its short-sighted, benefit-busting demands could send tens of thousands of the company’s workers into the streets from Houston to Seattle, and from Cincinnati to Denver. The majority of Kroger’s revenue stream could dry up if the company fails to reach agreements that maintain affordable health care.

“”Kroger has consistently underestimated workers’ resolve in the fight for affordable health care. For the company health care benefits are a matter of dollars and cents, for workers health care benefits are a matter of life and death,”” said UFCW International Collective Bargaining Director Pat O’Neill.

In a nationwide effort, the UFCW International is systematically laying the groundwork in preparation for the possibility of multi-city strikes. From picket signs to community outreach, coordinated programs are being planned to mobilize support for affordable health care, as well as to assist the workers forced to strike to keep their health care.

While the details vary from city to city, the thrust of the company’s attack is to effectively eliminate affordable health care in the future. Houston is currently the hot spot for a potential strike. Company demands there would impose costs that would push health care out of reach for many workers, and could leave substantial number of workers without any coverage at all.

“”Kroger needs to make a commitment to maintaining affordable benefits. The workers have made record profits for the company. Some of those profits now should be used to maintain the workers’ benefits. Attempts to eliminate affordable health care will only lead to the elimination of profits, customers and market share. Workers will negotiate in good faith to keep the stores open and the customers served, but workers will fight for health care,”” stated O’Neill.

April 5, 2004

Kroger and UFCW Locals 455 and 408 Agree to Extend Contract

Kroger and UFCW Local 455 and 408 Agree to Extend Contract

After weeks of marathon bargaining sessions, UFCW Locals 455 and 408 and Kroger supermarkets have signed an extension to the current collective bargaining agreement that covers 11,000 workers in the Houston area. The two parties have been working with a federal mediator who recommended the extension in order to permit bargaining to continue.

Due to the complexity of the issues, particularly health care coverage, the extension will allow both parties to continue to make steady progress toward a solution.

The contract has been extended to April 24, 2004 and will continue day to day thereafter.

Both parties also agreed to a media blackout of issues being discussed at the table.

• Kroger Workers Ready to Hold the Line for Health Care  (4/02/04)