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Press Release
Kroger Workers Ratify
Three-Year Contract
Madison
Heights, MI — A
new contract was ratified today by Kroger workers belonging to the
United Food and Commercial Workers (UFCW) Local 876 effecting
approximately 12,000 workers at 118 Michigan stores. The new
three-year agreement, which received the unanimous recommendation of
the union’s bargaining committee, achieved the membership’s top
bargaining goals – protecting their health care coverage and pension
benefits.
“Michigan’s
poor economy and high unemployment rate made these contract
negotiations very difficult,” Roger Robinson, Local 876 president,
and chief union negotiator, said. “Despite these tough
circumstances, we were able to deliver on the members’ main goals of
protecting their health insurance and pension benefits. The
bargaining committee fought hard, stood up to Kroger’s unreasonable
demands and left the bargaining table confident they reached the
best contact possible without taking drastic action.”
Members will
receive hourly wage increases and bonuses throughout the term of the
contract.
UFCW Local
876 represents over 17,000 workers in eastern and northern Michigan
including employees at Kroger, CVS, Rite Aid, and numerous
commercial work sites. The UFCW International is among the largest
private sector unions in the country with over 1.4 million members.
Press Release
UFCW Local 876 Reaches Tentative
Agreement with The Kroger Company
Madison Heights, MI – June 10,
2010 – The United Food and Commercial Workers (UFCW) Local 876
has reached a tentative agreement on a new contract with Kroger for
12,000 Michigan workers. Details of the tentative agreement will be
distributed to the membership over the next several days and a
membership contact ratification vote held next week.
“We feel the tentative agreement
reached today addresses our member’s needs while allowing the
company to remain viable,” Roger Robinson, UFCW Local 876 president
and chief negotiator said. “We appreciate the support and patience
the Kroger membership has shown during this difficult process.”
Specifics of the tentative agreement
will not be released to the media prior to the membership vote.
UFCW Local 876 represents over 17,000
workers in eastern and northern Michigan including employees at
Kroger, CVS, Rite Aid, and numerous commercial work sites. The UFCW
International is among the largest private sector unions in the
country with over 1.4 million members.
Press Release
Media Release Issued by Your Union
Bargaining Committee Continues to Fight Concessionary Demands from
Kroger
Madison Heights, MI - June 9,
2010- As the
Kroger contract expired at midnight, United Food and Commercial
Workers (UFCW) Local 876 continued to fight concessionary demands
from Kroger as it worked toward a fair settlement for 12,000 workers
at 118 stores in Michigan.
The Kroger Company’s proposals to the
union include defunding a trust account that pays for worker’s
health insurance benefits, which would leave the fund with a
significant shortage, which resulted in stalled contract talks.
“The employer is proposing the union
jeopardize the health and welfare fund in order to reach an
agreement,” Roger Robinson, president and chief negotiator for the
union said. “The company has remained adamant on this issue, which
would result in the membership either incurring increased costs or
reduced benefits – that is unacceptable.”
Talks will resume on Thursday.
June 10,
2010
Media Release
Issued by Your Union
Union and Kroger Negotiate Today as
Midnight Contract Expiration Looms
Madison Heights, MI – The United Food
and Commercial Workers Union (UFCW) Local 876 and the Kroger Company
are continuing contract talks today on a new agreement covering
approximately 12,000 Michigan members.
“The union’s goal has, and continues to be, to
negotiate a contract that is fair and protects the best interests of
both parties,” Roger Robinson, Local 876’s president and chief union
negotiator, said. “The union is not looking to strike, or put Kroger
out of business. The hard working members of Local 876 simply want a
fair contract from a company that is doing very well and making a
profit in Michigan.”
The union believes it has made realistic
contract proposals, while Kroger’s latest proposals have been
unreasonable. At the conclusion of yesterday’s bargaining, the
company left a proposal on the table that included the following:
l No hourly wage increases.
l Dramatic changes in
the way workers earn wage increases and qualify for
benefits, delaying for years workers’ ability to earn a decent
living and receive
health and welfare benefits
l The elimination of health
and welfare benefits for many current and future part time
employees.
l Insufficient funding of the employees’ health and welfare
plan, which could result in
significantly higher employee costs for health care and/or benefit
cuts.
The union is committed to bargaining until an
agreement is reached, and will continue to prepare for strike and
other actions should the midnight deadline pass without a
settlement.
“It would be unfortunate, but Kroger may force us
to conduct a strike vote,” Robinson said. “Kroger is making money,
but you would never know it by their proposals. If Kroger doesn’t
change its position on several issues, members are going to be faced
with a very tough decision in the very near future.”
The Local 876 Executive Board and the union’s
Kroger Advisory Committee have already authorized the union to take
any action, up to and including a strike, to secure a fair and just
contract. Before a strike could be conducted, the Local 876 Kroger
membership and the UFCW International Union would have to authorize
the action.
UFCW Local 876 represents over
17,000 workers in eastern and northern Michigan including employees
at Kroger, CVS, Rite Aid, and numerous commercial work sites. The
UFCW International is among the largest private sector unions in the
country with over 1.4 million members.
June 9,
2010
Bargaining Facts from Your
Committee
At the conclusion of the Tuesday, June 8, 2010 bargaining session,
The Kroger Company made the following proposals to the union:
1. To
take approximately $18 million
out of your Health and Welfare Fund during the months of July,
August and September. This surplus will be used to benefit the
company financially. Kroger has called this “contribution holidays.”
Will there be contribution holidays for members?
2. To
fund future contributions by enacting an increase of up to a maximum
of 4.75% each year going forward. Inevitably,
this would cause the Fund to
experience a significant shortage, resulting in insufficient funding
to maintain current benefits.
3. To
establish employer contribution rates that would result in a 20%
shortage at the end of the
contract.
This shortage would result in the membership either paying an
increase of contributions of $130 a month, or significant benefit
cuts. It is important to achieve an
operational balance between costs and contributions.
4.
To
eliminate all health and welfare coverage
for many part time members - current and future.
5. To
change current wage progression structures to hours worked,
not service time, for part time members. For example, part time
members would work a minimum of 2,080 hours to advance to the next
wage progression rate. This could
take years, and keep members from earning a decent living or
qualifying for benefits.
6.
Their wage proposal was a small bonus
each year for top rate employees.
No hourly increases.
Is this the Solution our Membership
Wants?
UFCW
Local 876 is not looking to strike.
We are trying to reach a fair contract that is in your best
interest.
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Kroger Advisory Committee
Unanimously Supports
Any Action Necessary,
Including a Strike,
to Secure Fair and
Just Contract
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June 6, 2010
At
tonight’s meeting, the Local 876 Kroger Advisory Committee
received a contract bargaining update from Local 876 President
Roger Robinson that was in stark contrast to the reports issued
by the Kroger company.
“Kroger
is telling Local 876 members that the negotiations are
progressing and moving forward. Apparently Kroger has a very
different sense of what is going on at the bargaining table than
the union’s negotiators,” Robinson said. “The union is truly
concerned. In fact, I believe a strike is eminent if Kroger
continues down their current path.”
With
negotiations now focused on the critical issues of health and
welfare, pension, and wages, the union believes Kroger has made
their intent on these issues clear, and it is not consistent
with their published intent to seek a contract that is “good”
for workers.
“Kroger
is making money, but you would never know it by their
proposals,” Robinson said. “If Kroger doesn’t change its
position on several of their demand items, members are going to
be faced with a very tough decision in the very near future.”
Last
week the Local 876 Executive Board unanimously authorized the
union to take any action, up to and including a strike, to
secure a fair and just Kroger contract. At tonight’s meeting,
the members of the Kroger Advisory Committee did the same. If
necessary, the membership will be asked to vote on the same
motion.
“We will
be in bargaining with the company for the next three days,”
Robinson said. “Hopefully these will be productive negotiations
and we will reach a fair resolution by the contract’s June 9
expiration. Achieving a contract that is fair for both parties
continues to be our goal. However, the local has begun
preparations for action we can take if Kroger is not willing to
negotiate a package that is fair to the membership. I am very
proud of the action taken by the bargaining committee and the
advisory committee. They have stood together and stood tough.
Now is the time for the membership to do the same.”
Further
updates on Kroger negotiations and membership actions will be
posted on the Local 876 website and in various other union
communications.
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We Are Powerful When We Speak
as One
Kroger Grocery Workers
United |
On March 9 over 1,000 UFCW Kroger Members gathered in
Dayton, Ohio to build solidarity and to protect our union
contracts.
UFCW Region 4 locals,
Michigan, Ohio, Kentucky, Indiana and Illinois, were
in attendance to create a comprehensive plan for both locals
and Stewards to become stronger at the bargaining table this
year.
"If we want to have better
lives for our families, we are going to have to negotiate as
aggressively and effectively as we can," said UFCW Executive
V.P., Director, Organizing Department Patrick J. O'Neill. He
added, "You don't get what you deserve, you get what you
negotiated."
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Kroger
Bargaining Update for May 18, 2010
After completing numerous bargaining sessions over the past
month, Local 876 and Kroger have agreed to suspend talks until
June 1 to allow the actuaries ample time to complete necessary
health and welfare cost and benefit projections.
“Over the past month, thanks to the hard work of the
subcommittees, we have made a great deal of progress on
non-economic bargaining issues,” Roger Robinson, Local 876’s
president and chief union negotiator for the talks, said. “While
we are currently in agreement on where we need to go on these
issues, we are unable to report any details until a complete
tentative agreement is reached and we are certain there will be
no changes to the new language.”
When Local 876 and Kroger return to the bargaining table on June
1, the parties will enter the most difficult stage of
negotiations -- economics. The economic portion of bargaining
involves wages, health and welfare, and pension.
“Economics, always the toughest aspect of contract negotiations,
will be even more difficult this
go-round given the poor economic climate, the uncertain
financial impact of the new health care legislation on insurance
plans, and the hit pension plans have taken in the last two
years,” Robinson said. “We are conscience of how these factors
impact negotiations and still believe it is possible to
negotiate a fair contract.”
The union knows additional employer contributions will be needed
to maintain current pension levels, meaning less will be
available for increases in other areas, and understands
adjustments to health insurance will be needed to maintain
benefit coverage.
“I believe a fair contract can be achieved,” Robinson said.
“While the membership has set reasonable goals for these
negotiations, they also made it clear they won’t be taken
advantage of just because times are tough.”
Local 876 is in the process of scheduling a strike vote, an
action the union would consider only as a last resort if Kroger
leaves no other option for reaching a fair contract.
“While the
strike vote is procedural, it is not simply a scare tactic,”
Robinson said. “Members need to carefully think about what is at
stake and how far they are willing to go to reach a fair
contract.”
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Kroger Bargaining Update for April 14,
2010
Local 876 kicked off formal contract negotiations with The
Kroger Company on Tuesday, April 13, 2010.
During this initial bargaining
session, opening statements were made by Local 876 President and
Chief Union Negotiator, Roger Robinson, and Kroger Vice
President of Operations, David Brislin.
"Kroger presented information
on the performance of the Michigan stores and the impact of
competition on their business," Robinson said. "While the union
reiterated its intent to leave the table with a fair and
equitable agreement that recognizes the contributions of Local
876 members to the continued success of The Kroger Company."
The union and company also
exchanged first proposals for several non-economic changes each
side would like to see included in the new contract.
"We had detailed discussions
regarding the proposed changes where both sides clarified their
positions and intent of the proposals," Robinson said. "As
always, until we reach a tentative agreement, there are no
details to report. Many additional discussions will take place
and proposals exchanged before that time."
Local 876 and Kroger will
continue their contract talks on Wednesday, April 14. Joining
Robinson at the bargaining table and rounding our the union's
bargaining committee are: Local 876 Secretary-Treasurer Rick
Blocker; Executive Assistants George Culver and Steven LeVey and
rank and file committee members.
Official updates regarding
Local 876 Kroger bargaining will be posted here and distributed
electronically to Kroger members who sign up below for news and
notification of Kroger Unity Bargaining.
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