Los Angeles, CA, United States (AHN) – Thousands of employees at southern California’s three largest grocery chains were set to begin voting Friday on a contract proposal that union officials said protects workers’ healthcare.
The United Food and Commercial Workers did not release details of the agreement but said the final proposal from Albertsons, Ralphs and Vons was a “win-win” for both employees and the companies.
Albertsons, Ralphs and Vons, which are owned by SuperValu, Kroger and Safeway respectively, said the settlement will continue to provide workers with “quality, affordable healthcare — while allowing us to be competitive in the marketplace.”
Fifty-percent plus one of the union’s 62,000 members must vote in favor of the tentative agreement for ratification.
The tentative agreement was reached after a 72-hour notice of contract cancelation from the union ended early Monday morning.
The notice of cancelation is a mandatory last step before a work stoppage, something both workers and the supermarket chains badly wanted to avoid due to a 2003 strike that lasted months and cost companies $2 billion.
Unemployment in California has also risen to 12 percent, the second-highest in the nation. Nonetheless, 90 percent of union members voted last month to authorize the union to call a strike if necessary. The vote prompted the grocery chains to agree to non-stop negotiations and a federal mediator to preside over the talks.
The labor dispute began eight months ago, and a contract that expired in March was repeatedly extended during collective bargaining.
According to the union, the chains refused to “adequately fund” their employee healthcare plan despite paying some of the lowest contributions in the past decade.
Albertsons, Ralphs and Vons have said workers need to share the rising costs of healthcare.
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