Supermarket Workers Union Accepts Pact
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Unable to rally support for a strike, the union representing 27,000 workers at Northern California’s two largest grocery chains reluctantly accepted a three-year contract that labor leaders said makes it hard for employees to afford the region’s high housing costs.
The United Food and Commercial Workers union move means there will be no strike at 294 supermarkets run by market leaders Pleasanton, Calif.-based Safeway Inc. and Boise, Idaho-based Albertson’s Inc.
The new contract will raise store workers’ wages by an average of 10%, or $1.50 per hour, over three years. The union wanted raises of $2.40 per hour over three years.
The current pay for the Northern California retail clerks ranges from $7.75 an hour to $17.58 an hour.
Safeway fell 3 cents to $44.46 and Albertson’s fell 27 cents to $33.23, both on the NYSE.
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