Posted on 10/12/2003 1:22:30 PM PDT by Brian S
Reuters, 10.12.03, 2:16 PM ET By Kevin Krolicki
LOS ANGELES (Reuters) - The union representing some 70,000 Southern California grocery workers called a strike against Safeway Inc.'s Vons and two rival supermarket chains responded Sunday by locking out union workers.
Picket lines organized by the United Food and Commercial Workers Union formed at Vons across from Los Angeles to San Diego, one of the nation's most populous regions and a key market for the grocery chains.
In response to the Vons strike, Albertsons Inc. and Kroger Co.'s Ralphs, which are covered by the same master contract, locked out union workers from the first shift on Sunday, a union spokeswoman said.
The contract between the United Food and Commercial Workers Union, the AFL-CIO affiliate that represents about 1.4 million workers, and the region's three dominant supermarket chains expired on Oct. 5.
The labor dispute, which hinges on health-care costs, comes as unionized grocery workers across the United States have contracts up for a difficult renegotiation as their employers look to cut costs to offset weaker sales growth.
Union workers in Southern California voted 97 percent in favor of rejecting a two-month-old contract offer from the grocery chains and authorizing a strike Friday.
The United Food and Commercial Workers Union, also known as the UFCW, charges that the chains, using the competitive threat of Wal-Mart Stores Inc. as a stalking horse, are trying to shift hundreds of millions of dollars in health-care costs to workers through higher insurance co-payments and caps that would limit sharply limit reimbursement for surgery and other expensive treatment.
"There was just no progress," UFCW spokeswoman Ellen Anreder said of negotiations that broke off on Saturday. "They have as yet failed to substantiate the need for these concessions."
Representatives of the three grocery chains were not immediately available for comment.
A federal mediator had brought both sides back together for talks last week in Anaheim, California, as the strike vote loomed.
At one Vons in northeast Los Angeles on Sunday, a handful of shoppers crossed a picket line formed by about a dozen union workers carrying signs in English and Spanish, but as many turned around when strikers urged them to shop at a non-union grocery down the street.
Grocery store baggers covered by the UFCW start at $6 per hour while the most experienced workers who oversee departments make about $17.90, Andreder said. The average wage is between $12 and $14 per hour, she said.
Wal-Mart, besides being the world's largest company, has expanded to become the biggest player in the fiercely competitive $680 billion U.S. grocery industry it joined only a decade ago. Wal-Mart is a non-union shop.
Wal-Mart's massive scale has let it extract better terms from suppliers, widening the cost advantage between itself and traditional outlets like Kroger, Albertsons and Safeway.
Although Wal-Mart does not have grocery operations in Southern California, the company has announced plans to open about 40 hybrid grocery and general merchandise Supercenters in in the next several years.
Even after that expansion, Wal-Mart would control only about 1 percent of the grocery market in the region, Anreder said. The three dominant chains, taken together, have seen profits increase 91 percent over the past five years, she said.
Copyright 2003, Reuters News Service

I keep hearing this term "locked out." Last night a rather concerned yet wonderful young child of mine told me that the definition of "locked out" means that all the customers who are in the store at the time of the strike are locked inside until the strike is over.
It was my belief that "locked out" refers to shutting down any further contract negotiations with Ralph's and Albertson's employees.
Now it seems that "locked out" may mean about the same as "temporarily laid off" or "fired."
Does anyone know the legal definition of "locked out" and if so, how does it differ from "lay-off" or "on strike?"
Expecting them to pay for their own healthcare? Like everyone else in America? Well no wonder they struck! (/sarc)
Been a long time. My boy has worked for Vons for two years, makes exactly $7.40 an hour as a Courtesy Clerk. He aint complaining about his wage, even though it's not a livable wage. They are only striking to keep what benefits they ALREADY have. They are not asking for *anything* extra as far as I know.....They are striking to just keep what they have...
LOL! Just awful, ain't it?
Lurking as much as I can find time also!
They weren't expecting that. They already had that. They are not asking for anything, and are only striking to keep what they already have.
That is a good deal. Very few people pay nothing at all. Maybe they should count their blessings.
It's weird though - it would seem that the other companies would want to keep their employees on the job. Then again, it could be that this is a management game of poker to see if the Union will call their bluff. I'm just guessing though.
Why, because they want to reduce what they already have? Sheesh.....
I don't think some of you understand, the strikers aren't asking for anything extra. Only to keep what they already have. LOL!
You bet, lets fire them all, (even though they are *not* asking for more money or benefits).
Dirty no good SOBs. Fire them all!
You were a year old in nineteen seventy-three? Stone the crows, mate! I took you for someone older than that. :=)
You bet, lets fire them all, (even though they are *not* asking for more money or benefits).
Dirty no good SOBs. Fire them all!
This type of menial labor shouldn't be unionized.
Huh? LOL! In light of what is happening, I would say your statement is bizarre......
I knew that. Really! *smile*
I used to work as a cashier/officer person in a grocery store, was a member of the union, but earned a comparitively higher hourly rate than current grocery workers and it seemed that we were treated with much more respect by the management back then.
We also had zero health benefits until we achieved full time status (35+ hours/week for a few months.) Management didn't hold us back if we wanted to switch from part-time to full-time.
While it was a different union, we were also backed up by the Teamsters when we came close to a strike.
One final note: that grocery chain went out of business, partly due to competition from Kroger, who now owns Ralph's and Food for Less.
And in this *specific* situation the union isn't asking for more money or benifits. They're only striking to keep what benefits they already have.....
"Locked out" is the management version of a strike. Management chooses to not allow the workers to work without a contract.
These baggers don't see that with the Big Box stores, the retail grocery industry is running razor thin margins. There are also lots of alternatives (CostCo, Jons, Krogers, Vallarta, etc.), so they don't have much bargaining power (or sympathy) with the public. My prediction: One of the store chains (Ralphs, probably) will fold and the remaining stores will be fully stocked with permanent scab replacements. In 2 months, there will be merely an exchange of 70,000 new non-union grocery workers for the 70,000 old ones.
HOWEVER, this is different, the union isn't asking for more anything, only to keep the benefits they already have...
This is like everything else in America today.
Management wants everyone to work harder, wear different hats, they don't replace the people they already laid off and expect those that are left to take up the slack.
Employers today spend much of their time figuring out how to screw the employee, and pay them less.
Instead of regular cost of living wage increases and better benefits, they are now attempting to give employees meager bonuses, and stupid incentive prizes.
And many employers and now creating these incentive programs that in reality are schemes to make the employees compete against each other for these stupid prizes and weak bonuses in lieu of regular deserved raises.
This crap is happening everywhere.....
If most employers could hire illegal aliens to replace you for a fraction of what they are paying you, trust me, they would do it in a blink of an eye, as some already are...
It's my opinion that most companies in America no longer have any allegiance to their employees or this country....Bottom line, they don't give a damn, except to maintain the profit margin......Bet the rent....
Also, this doesn't make much sense to me, "At one Vons in northeast Los Angeles on Sunday, a handful of shoppers crossed a picket line formed by about a dozen union workers carrying signs in English and Spanish, but as many turned around when strikers urged them to shop at a non-union grocery down the street."
Staters Bros has agreed to abide by whatever the settlement is, thus it workers are remaining on the job. That is the last I heard anyhow.
So if someone is not a senior scientist for Beckman, they souldn't be paid a fair livable wage? People that work on their feet for 8 hours a day shouldn't be paid a livable wage?
Sorry, I disagree.......
Understand, my kid has worked for Vons for *two* years and make 7.40 and hour. Not a big wage, or even a livable wage, BUT, he isn't bitching about his wage, and they are only striking to keep what benefits they already have.....
They are not asking for anything *extra*.
Uh, er, no, they are not asking for anything more than they don't already have.....
But I'm glad to see that many of you agree that reducing peoples medical benefits is a great thing. LOL!
(Dang, this is weird)
And let me guess, you would have thought this a great thing if told that they were reducing your pay to 5.25 and hour, and reducing any benefits you may of had.
(LOL, this is weird)
And, you are dead wrong when you say they are not asking for more. Insurance premiums are skyrocketing for the employers. They are asking their employers to pay the premiums. This is asking for more!!! It isn't the employers fault that insurance premiums cost so much.
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