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Stop & Shop Workers Vote to Ratify Contract—Although Benefits Will Shrink for New Part-Timers

Tuesday, May 7th, 2019

On Wednesday, May Day, the last of five United Food and Commercial Workers (UFCW) locals ratified a new three-year contract with Stop & Shop, following a 10-day strike—one of the largest the U.S. private sector has seen in years. Workers at Local 1459 in Springfield, Mass., voted overwhelmingly in favor of the new contract—in line with near-unanimous approvals by four other locals since the strike ended April 21.

The strike began in the week leading up to Easter, when 31,000 UFCW union members across New England walked off the job after Stop & Shop said it needed to “adapt to market conditions” to compete with behemoths like Walmart and Whole Foods/Amazon. Noting it is the only fully unionized grocery chain in New England, one with a pension plan and above-industry wages, the company proposed raising healthcare premiums, freezing overtime rates for part-time workers (who make up 75% of its workforce) and reducing pension benefits for non-vested employees.

UFCW members viewed these proposals as steps toward a two-tiered workforce, with full-time Stop & Shop employees at one level and part-time workers at another.

“I don’t think it’s right—it should all be equal,” says Mike Landry, an assistant meat manager who’s worked for 37 years at the Northampton store. “That’s why the union is fighting.”

Given the Easter holiday, one of the year’s busiest weeks for grocery shopping, the timing of the strike was particularly rough for Stop & Shop, owned by Dutch retail giant Ahold Delhaize. The company reportedly lost between $90 million and $110 million in sales, or about 3% of projected 2019 profits.

At one Stop & Shop in Northampton, Mass., the supermarket was virtually empty while picketers held signs outside, discouraging shoppers from entering the store. Inside, the bakery was closed, along with the deli, meat and seafood counters. The produce selection was hit or miss. A single-digit skeleton crew of workers outnumbered customers, and only self-service checkout was available. To keep the lights on at the company’s 246 stores in Rhode Island, Connecticut and Massachusetts, Stop & Shop brought in replacement workers and sent corporate office employees to man the stores.

The grocery chain also hired temporary truck drivers and warehouse workers after about 1,000 Teamsters union members refused to cross UFCW picket lines. Management had to scramble to get food into stores and trash out the doors.

Ratcheting up pressure on the company was possible thanks to picket line protection language in Teamster contracts, says Sean O’Brien, president of Teamsters Local 25. “We enforced that language—we will never cross a picket line,” O’Brien says. “After their shifts were over, hundreds upon hundreds of Teamsters would go down and walk the picket lines.”

Out on the picket line in Northampton, Susan Jacobsen, 72, a member of UFCW Local 1459, and her colleagues saw solidarity firsthand: Local elected officials and customers joined in. Rabbis across the region told congregations it’s “not kosher” to shop at Stop & Shop ahead of Passover. A handful of U.S. presidential candidates joined picket lines, too. And members of a slew of unions—teachers, nurses, building trades workers and public sector workers—all helped support striking workers by joining picket lines and providing resources, O’Brien says.

“It’s been absolutely fabulous,” says Jacobsen. A bakery worker with Stop & Shop for 21 years, this was her first-ever strike. She picketed every day.

“If you firmly believe in the principles you’re standing for, there’s nothing onerous about it,” Jacobsen says. “People need to stand up for what’s right.”

When asked whether he would vote to ratify a new contract, David Morse, a UFCW Local 371 member in the Northampton store’s seafood department, said he’d be disappointed if future part-time hires see frozen overtime pay or reduced pension benefits. But, “it won’t stop me from voting for it,” he said. “We went through hell just to get what we have.”

When the strike ended, there was plenty for the UFCW to celebrate. Stop & Shop gave up its push to force employees’ spouses to take any health insurance offered by their own employer. The union also said Stop & Shop “kept healthcare affordable” with “low deductibles and out-of-pocket maximums.” The new contracts also hold the line on all sick time, personal days and paid holidays for current and future employees—Stop & Shop had wanted to reduce paid holidays and sick days for future employees.

But the company got some of what it wanted as well. New part-time workers won’t see time-and-a-half pay on Sundays and holidays, as current employees do. Instead, they’ll get a premium (e.g., an extra $1.50 per hour the first year) that will grow to a time-and-a-half rate after three years of employment. And then there’s this: The new contracts significantly reduce pension benefits for new part-time hires. While a current part-timer gets $225 per month after working 10 years, a new part-time would get $100, the Worcester Telegram & Gazette reported.

“It came down to, we had to get people back to work,” Tim Melia, president of Local 328 of the United Food and Commercial Workers International, told the Worcester Telegram & Gazette. “There were a few things we weren’t that happy with. At the end of the day,” he said, “we had to accept this contract, and it was worth bringing back to the members.”

But across the country, unionized chains are still on the defensive. “There’s nothing left of Shaw’s, A&P, Pathmark, Waldbaum’s, Tops and Grand Union,” industry analyst Burt Flickinger told the Hartford Courant. “The Walmart bear is eating all the union competition.”

“I did this for other people’s children, for my grandchildren,” Jacobsen says as she restocks a shelf with cakes on her first day back at work. “We have got to stop this, putting people in tiny wages with no benefits.”

This article was originally published at In These Times on May 2, 2019. Reprinted with permission. 

About the Author: Jeremy Gantz is a contributing editor at In These Times. He is the editor of The Age of Inequality: Corporate America’s War on Working People (2017, Verso), and was the Web/Associate Editor of In These Times from 2008 to 2012. A

Kentucky Couple's ‘Ride for Respect’ at Walmart

Monday, June 3rd, 2013

berry craigJames and Trina Vetato knew about the freedom riders from history books.

This week, the Paducah, Ky., couple expects to join a civil rights movement-style protest against the world’s largest retailer. The Vetatos are activists in the employees’ group Organization United for Respect at Walmart, or OUR Walmart for short. Trina currently works at a Walmart store and James is a former Walmart employee.

Called the “Ride for Respect,” the demonstration at Walmart corporate headquarters in Bentonville, Ark., will be modeled on civil rights volunteers who rode buses into the South in the 1960s to protest Jim Crow racial injustice, says James Vetato.

Busloads of OUR Walmart members will converge on Bentonville from across the country. They will be in town for the annual shareholders’ meeting June 7. Vetato says he expects 300 or more OUR Walmart members to begin arriving the week before the meeting. Most of the protesters—including Trina Vetato—will be taking part in an unfair labor practice strike, says her husband.

The protest will go on the whole week before the meeting. We especially want to draw national attention to Walmart management’s threats and retaliation against workers who speak up for better pay, more hours and respect on the job.

Vetato worked at his wife’s store in Paducah. When he stood up for his rights, he says:

I was threatened and intimidated by management who made my life so miserable I finally quit.

Our Walmart wants better pay, benefits and working conditions. “Like the freedom riders, we will be standing up for dignity and respect and justice and will be protesting peacefully,” Vetato says.

OUR Walmart isn’t a union, but the United Food and Commercial Workers (UFCW) is helping the group, says Vetato.

Some other unions are in OUR Walmart’s corner, too. The Paducah-based Western Kentucky AFL-CIO Area Council unanimously passed a resolution expressing its solidarity with the workers’ struggle at Walmart.

This article was originally printed on AFL-CIO on June 2, 2013.  Reprinted with permission.

About the Author: Berry Craig is the recording secretary for the Paducah-based Western Kentucky AFL-CIO Area Council and a professor emeritus of history at West Kentucky Community and Technical College.  He is a former daily newspaper and Associated Press columnist and currently a member of AFT Local 1360.

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