MONTVALE, N.J. — Labor unions representing workers at A&P are moving closer to a settlement with the retailer. Locals of the United Food and Commercial Workers this week said they would vote on a proposed labor deal between Nov. 27 and Nov. 29.
A new labor deal — or a renegotiation of current contracts — is crucial to the proposed $490 million offer to take A&P out of bankruptcy early next year. Around 92% of A&P’s employees are represented by one of 34 collective bargaining agreements.
Sources said the company was seeking $125 million in annual cost savings from labor. As previously reported in SN, unions were to have submitted confidential proposed settlements to the bankruptcy court this week.
