Business & Tech

Grocery Labor Contract Talks Extend Past Deadline

Contract negotiations between more than 62,000 Southern California grocery store workers and Ralphs, Albertsons and Vons extends past the expiration of the extended contract covering workers as a strike looms.

Contract negotiators for 62,000 grocery workers in Southern California and the operators of Ralphs, Vons and Albertsons remained at the bargaining table throughout the night and into Monday morning as the extended contract covering workers expired and a threatened strike loomed.

Workers at the Big Three chains were still on the job as negotiators on a new labor deal continued bargaining past 7 a.m. Monday—delaying a possible Southern California strike.

“Talks went through the night and both sides are still at the table,” said Ellen Anreder, spokeswoman for the United Food and Commercial Workers, in a 6:59 a.m. email to La Mesa Patch in San Diego County.

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Both sides were negotiating about 1:30 a.m. Monday and there were no major changes in positions, said Kendra Doyel, a Ralphs spokeswoman, in an email.

Workers at Kroger Co.'s Ralphs, Safeway Inc.'s Vons and Albertsons grocery store gave 72-hour notice Thursday of their cancellation of the contract extension, paving the way for a strike if a deal could not be reached by 7:10 p.m. Sunday.

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Both sides continued negotiating after the deadline and were expected to continue bargaining through the night if they were making headway, said Mike Shimpock, spokesman for the United Food and Commercial Workers Local 770, which represents Los Angeles area grocery workers.

"As long as there's progress being made we'll stay at the table," Shimpock said. "Our top priority is to get a negotiated agreement. We don't want to go on strike and really we shouldn't have to because these companies make enough money."

Albertsons released a statement on behalf of the three major supermarket chains Sunday night saying that progress was being made, but an agreement has not been reached.

"Even though the 72-hour notice period has expired, nothing has changed," the statement said. "The terms of our most recent contract -- including wages and benefits -- remain in place, and our stores are open to serve customers as they usually are. We are still hopeful that a contract will be reached soon."

UFCW Local 770 in an 11:45 p.m. update on its website said union negotiators were still at the table and would work past midnight and also urged workers to remain at their jobs until they hear from union officials.

Union organizers earlier Sunday night held a candle-light vigil and rally at a Vons Pavilions on Olympic Boulevard and Beverly Drive.

Vons, Ralphs and Albertsons grocery store workers in Southern California went on strike for 141 days in 2003-04 after contract negotiations stalled primarily over health care issues.

Health care benefits again have been the sticking point between negotiators.

Union officials said the health care proposal by the supermarket chains would bankrupt benefits by the end of 2012, potentially eliminating all health care benefits for grocery workers.

Vons in a statement released earlier Sunday said about half of its employees make no weekly contribution to their health benefits and the others pay $7 a month for individual coverage and $15 for full family coverage. The company has proposed that all employees pay $9 for individual and $24 for family coverage, the Vons statement said.

Los Angeles Mayor Antonio Villaraigosa urged both sides Sunday to work out a deal, saying: “At a time of persistently high unemployment, poverty and foreclosures, the last thing we need is a devastating strike that will make it more difficult for thousands of workers to put food on the table for their families, pay their mortgages and afford other basic necessities.

“The ripple effect will further damage our local economy.”

Albertsons said in a statement over the weekend that it learned from the 2003-04 labor dispute that it doesn't make good business sense to operate all of its stores during a strike. The company said it believed up to 100 stores could close for some or all of a strike. Ralphs said it would initially close all of its stores if a strike is called.

Both sides in June announced a tentative agreement on pension benefits and employers' contributions that fund those benefits. Grocery workers have been working under the terms of a contract that was extended after it expired in March.

La Mesa Patch also contributed to this article.


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