Kroger Albertsons Mega-Merger Blocked by Federal Judge

FEDERAL JUDGE GRANTS PRELIMINARY INJUNCTION TO BLOCK KROGER AND ALBERTSONS’ PROPOSED MEGA-MERGER

King County Washington State Court Judge Also Issues Ruling Blocking the Proposed Mega-Merger

Today, UFCW local unions representing more than 100,000 grocery store employees working at Albertsons and Kroger-owned stores in 14 states and the District of Columbia released the following statement applauding the decisions by both a Federal Judge and a King County Judge in Washington state to reject the mega-merger of Kroger and Albertsons:

“The well-reasoned decisions today by both Courts make plain what union grocery workers have known all along – this mega-merger would be bad for workers who deserve a workplace where they can be paid well for their labor, be safe and be respected. It would be disastrous for shoppers who deserve competition that leads to better choices and lower prices. The merger would be detrimental to our communities, would harm farmers and suppliers who deserve a healthy balance to negotiate fair prices for their hard work. Instead, the proposed merger would create an out-of-balance system that drives up prices, drives out competition, and drives down wages and safety standards.”

“We call on Kroger and Albertsons executives to abandon this misguided merger and turn their focus back where it belongs: operating grocery stores. They should redirect the billions of dollars that had been earmarked to pay off Albertsons’ shareholders to instead re-invest in our stores.  Investing in better staffing to improve customer service, reducing long lines and out-of-stocks, and fixing the broken equipment that our members are forced to work with every day would allow Kroger and Albertsons to compete and grow market share and create lasting value for long-term shareholders, while meeting the needs of workers and consumers.” 

While there has not yet been a decision in a third case in Colorado, these two decisions to block the merger today are very significant.

The group of UFCW local unions (UFCW 7, 324, 400, 770, 1564 and 3000) lead the Stop the Merger coalition of more than 100 organizations opposed to the proposed merger of Kroger and Albertsons since day one because it would have resulted in lost jobs, closed stores, food deserts, and higher prices with reduced food choices – all of which have been a death-knell for workers, consumers, and entire communities.