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UFCW turns up heat on Ralphs in Southern California

Kroger chain says it has made a fair offer in contract talks

Russell Redman

August 22, 2019

3 Min Read
Ralphs Grocery store exterior.PNG
Ralphs Grocery Co.

With labor negotiations making little headway, United Food and Commercial Workers (UFCW) are now reaching out to Ralphs Grocery Co. customers in Southern California.

UFCW today said thousands of Ralphs grocery workers it represents have launched a campaign offering customers at 196 Ralphs supermarkets in the region a six-hour notice in the event of a strike. In a flyer for the campaign, the workers are directing customers to text “NOTICE” to 23396 to receive advance notice of any change to service at their local store.

The move comes after nearly six months of negotiations with Ralphs, which is part of Cincinnati-based Kroger Co.,  have not produced an acceptable contract, according to UFCW. The union said the grocery workers — including cashiers, stockers and deli clerks — initiated the campaign to “protest Ralphs’ unreasonable contract demands” and minimize disruption to customer service should a strike occur. 

In late June, UFCW Locals 770, 324, 1167, 135, 8, 1428 and 1442 in Southern California gave union leaders the green light to call a strike against more than 500 Ralphs, Albertsons, Vons and Pavilions stores if labor negotiations for a new three-year contract fail to progress. The Albertsons, Vons and Pavilions stores are operated by Boise, Idaho-based Albertsons Cos.

Related:SoCal grocers, workers return to bargaining table

The locals said their current contract expired March 3 and covers 47,000 Southern California workers at the four grocery chains, 16,000 of whom are Ralphs employees. According to the union, the retailers have proposed below-cost-of-living wage hikes and cashier wage reductions, and workers are concerned about health care plan funding.

“We value our customers and their families. We want our customers to know what is going on and let them know we are protesting, not just for our families, but their families, too,” Erika Bentzen, a Ralphs grocery worker in Thousand Oaks, said in a statement. “Already, customers have been expected to do more in the stores and have seen a reduction in the number of staff available to help them. It is important to me and my co-workers that shoppers have a good experience when they come to our stores. Ralphs can do better by them and our community.”

Ralphs announced that contract negotiations with UFCW officials throughout Southern California and the Central Coast resumed on Thursday. The Los Angeles-based chain noted that its current proposals would invest more than $108 million in wages, health care and pension benefits over the course of the contract.

“We have put forth a fair offer that honors our associates’ hard work and supports Ralphs’ investment strategy focused on long-term viability and success,” Ralphs President Mike Murphy said in a statement. “Our offer represents a balanced investment in our associates and our company’s future.”

Related:Grocery workers authorize strike in Southern California

According to Ralphs, every 5 cents above its current wage offer would mean another $3.6 million invested into 17,000-plus hourly workers over the term of the three-year contract. The company noted that its proposals — besides lifting employee income and preserving health benefits — protect their pension benefit, which it said 93% of Fortune 500 companies and most non-union retailers don’t offer.

“In the highly competitive retail grocery market in Southern California, Ralphs must have an agreement that affirms its commitment to associates, bolsters the company’s long-term success and ensures its continued presence in the community,” the retailer stated.

Ralphs described unionized food retail in California as being “at a crossroads.” The company cited a  March 2019 Strategic Resource Group report saying that unionized stores in Los Angeles County, Orange County and the Inland Empire have lost 10% market share to non-unionized grocery retailers over the past six years, and the share loss was 15% in San Diego County.

Meanwhile, UFCW on Thursday said a CivicScience survey last August found that nearly 60% of over 1,900 consumers polled prefer cashiers to self-checkout, which conflicts with grocery retailers’ efforts to reduce store staff by deploying more self-check stations.

About the Author

Russell Redman

Senior Editor
Supermarket News

Russell Redman has served as senior editor at Supermarket News since April 2018, his second tour with the publication. In his current role, he handles daily news coverage for the SN website and contributes news and features for the print magazine, as well as participates in special projects, podcasts and webinars and attends industry events. Russ joined SN from Racher Press Inc.’s Chain Drug Review and Mass Market Retailers magazines, where he served as desk/online editor for more than nine years, covering the food/drug/mass retail sector. 

Russell Redman’s more than 30 years of experience in journalism span a range of editorial manager, editor, reporter/writer and digital roles at a variety of publications and websites covering a breadth of industries, including retailing, pharmacy/health care, IT, digital home, financial technology, financial services, real estate/commercial property, pro audio/video and film. He started his career in 1989 as a local news reporter and editor, covering community news and politics in Long Island, N.Y. His background also includes an earlier stint at Supermarket News as center store editor and then financial editor in the mid-1990s. Russ holds a B.A. in journalism (minor in political science) from Hofstra University, where he also earned a certificate in digital/social media marketing in November 2016.

Russell Redman’s experience:

Supermarket News - Informa
Senior Editor 
April 2018 - present

Chain Drug Review/Mass Market Retailers - Racher Press
Desk/Online Editor 
Sept. 2008 - March 2018

CRN magazine - CMP Media
Managing Editor
May 2000 - June 2007

Bank Systems & Technology - Miller Freeman
Executive Editor/Managing Editor
Dec. 1996 - May 2000

Supermarket News - Fairchild Publications
Financial Editor/Associate Editor
April 1995 - Dec. 1996 

Shopping Centers Today Magazine - ICSC 
Desk Editor/Assistant Editor
Dec. 1992 - April 1995

Testa Communications
Assistant Editor/Contributing Editor (Music & Sound Retailer, Post, Producer, Sound & Communications and DJ Times magazines)
Jan. 1991 - Dec. 1992 

American Banker/Bond Buyer
Copy Editor
Oct. 1990 - Jan. 1991 

This Week newspaper - Chanry Communications
Reporter/Editor
May 1989 - July 1990

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