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Talks will resume today on key issues including wages and healthcare
after discussions were stalled last week.
By Ronald D. White, Times Staff Writer
June 27, 2007
Negotiators for three major supermarket chains and Southern
California store clerks agreed to get back to haggling today to try
to resolve differences over wages and health benefits.
Talks between the Albertsons, Ralphs and Vons chains and the United
Food and Commercial Workers union hadn't been held since Thursday,
when the markets refused to meet a union demand for a comprehensive
contract offer by noon on that day.
Rhetoric and tensions then escalated over the weekend as the union
got strike authorization from its Ralphs and Vons members during a
vote Sunday. Albertsons workers had voted in March to authorize a
strike.
But Tuesday, spokesmen for the supermarkets and the union said that
negotiations would resume today at an undisclosed location, with
additional sessions planned for Thursday and Friday. Talks could
continue into the weekend if progress is being made, union spokesman
Mike Shimpock said.
Both sides have said they are hoping to avoid a repeat of the
141-day strike and lockout of 2003-04 that left many union members
deep in debt and cost the employers an estimated $1.5 billion before
a contract agreement was finally reached. The contract for 65,000
workers at markets from Bakersfield to the Mexican border has been
extended twice since its March 5 expiration.
Ralphs is a division of Kroger Co., which is based in Cincinnati.
Vons and Pavilions stores are owned by Safeway Inc. of Pleasanton,
Calif. Albertsons is owned by Supervalu Inc. of Eden Prairie, Minn.
Grocery worker contracts have been coming up for renewal around the
country, and agreements have been reached recently in some areas.
The Southern California talks have been hung up over several issues,
including how to fund the healthcare benefits package. Other
important matters, such as a raise for employees, are still in the
initial discussion stages, said people close to the talks.
Kroger reached a contract settlement with workers in Texas over the
weekend and had already signed an agreement with workers in
Michigan, Chief Executive David B. Dillon said Tuesday during an
earnings conference call with analysts and investors.
An April strike at a Kentucky warehouse and competition from
Wal-Mart Stores Inc. squeezed first-quarter income, which rose a
less-than-expected 10% to $336.6 million, or 47 cents a share.
Both of Kroger's recent labor agreements were preceded by strike
authorizations, said Rick Icaza, president of United Food and
Commercial Workers union Local 770 in Los Angeles. "It's no
coincidence that in each instance the union got a strike
authorization vote first in both Detroit and Texas," Icaza said.
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