UFCW Local Unions from Stop the Merger Coalition Oppose Kroger’s Wall Street Giveaway

Press Release

UFCW Locals 7, 324, 770, 1564 and 3000
For Immediate Release: December 13, 2024 - 9 AM ET/6 AM PT
Contact: Tom Geiger, UFCW 3000, 206-604-3421

UFCW Local Unions from Stop the Merger Coalition Oppose Kroger’s Wall Street Giveaway, Call On Board of Directors to Immediately Replace CEO Rodney McMullen

Seattle, WA - A day after failing in its bid to merge with Albertsons and dominate the traditional supermarket industry, Kroger abruptly announced a massive giveaway to shareholders—a $7.5 billion stock buyback, $5 billion of which is slated to be paid out on an accelerated timetable. The massive shareholder payout towers above the commitments the company had promised to reduce prices for consumers and to invest in wages during the recent merger fight. Flip-flopping in less than a day’s time from a strategy of aggressive growth through Albertson’s acquisition on Tuesday to one of dramatic downsizing through shedding $7.5 billion on Wednesday should be seen for what it seems to be - an attempt to buy shareholders’ mercy through a short-term boost to the stock price in order to save CEO Rodney McMullen’s job.

“At a time when our stores need significant investments in staffing, repairs and remodels and our customers need relief from high prices, it is outrageous that Rodney McMullen would try to distract attention from his multiple failures as CEO by announcing a massive one-time giveaway to shareholders,” said Kim Cordova, President of UFCW Local 7 in Colorado and Wyoming.

During the recent three trials to block the merger, Kroger officials repeatedly expressed concern that rising competition from Amazon, Walmart and other nontraditional retailers represented an “existential” threat to Kroger’s market share. Within hours of that merger’s failure, it appears that Mr. McMullen’s first substantive action—apart from deciding to sue Albertsons—is to fleece $7.5 billion from the company’s treasury instead of making investments that would build market share. This $7.5 billion is on top the nearly $1 billion the Company already wasted on the failed merger. Apparently, in McMullen’s view, the threats to Kroger’s survival are not so great that the company needs these resources.

What could a competent CEO do with $7.5 billion? At the most basic level, these funds could be used to: 1) invest in lower prices for consumers, making Kroger more price competitive; 2) invest in higher wages and more staffing to reduce turnover; 3) remedy chronically empty shelves; and, 4) provide better customer service. The $7.5 billion in share buybacks announced Wednesday are approximately 10 times the value of the promised investments in price reductions the company had said it would make if the merger were approved. The Company made a similar billion-dollar commitment to invest in wages. Workers know all too well just how badly needed these additional wages and hours are for the stores’ operations, and how they would allow the company to grow its market share.

What else could a competent executive do to grow market share? They could do what Amazon, Walmart, Costco and Trader Joe’s have done: build new stores. Those other retailers have consistently grown their grocery store count each year over the past decade, but there are fewer Kroger stores today than there were in January of 2016. How many new Kroger stores could $7.5 billion buy? Based on an average pre-tax cost of $35 million per store, Kroger could build 280 new combination stores (such as Ralphs, King Soopers or QFC) each with an average square footage of 71,000 sq ft, for a total of approximately 20 million new square feet—the equivalent of over 1,300 Trader Joe’s stores, about 2.2 times as many Trader Joe’s as currently exist.

What could $7.5 billion buy?
New stores: 280
Store remodels: 3,268*
Discounts per loyal household: $158.13
New FTEs: 125,691
New FTEs per store: 46
New FTE's per store for 3 yrs: 15.4
* This is actually larger than the total number of stores currently operated by Kroger.

“These stores are part of our community—millions of consumers shop there for their families' food, and hundreds of thousands of union members work there. These billions could be used to improve our food supply, reduce prices, reduce food deserts and more,” said Kathy Finn, President of UFCW 770 in Southern California. “That money is not a personal piggy bank that Rodney McMullen can raid in order to save his job.”

“As the president of a local union that represents 11,700 Kroger workers, I don’t take lightly the decision to call for the replacement of the company’s CEO, but Rodney McMullen has mismanaged this company so badly there is no other way forward,” said Faye Guenther, President of UFCW 3000 in Washington State. “It was under his leadership that the company decided to attack its union members by cutting staffing by double-digit percentages, it was under his leadership that the decision was made to invest in the automated Ocado warehouse boondoggle, and it was under his leadership that both companies wasted the last two years and nearly $1 billion pursuing a doomed merger. It’s past time for him to go.”

We Continue Our Fight Against the Kroger/Albertsons Merger as the FTC Trial Enters Final Week, More Trials to Follow

UFCW 324 Members' Rally Was Covered on ABC 7 in LA September 13, 2024

Dear Grocery Store Members,

Since the trial of the Federal Trade Commission's lawsuit to stop the proposed merger between Kroger and Albertsons began on August 26, workers have been at the courthouse, talking to the media, and talking to customers about how damaging this would be for workers, customers, and our communities. We've been doing this work for nearly two years and we'll continue to do it until we finally put a stop to this disastrous merger.

The federal court case is expected to conclude on Tuesday, September 17, and the judge could make a decision on whether or not to approve the FTC's request for what is called a "preliminary injunction" as early as the first week of October. If the injunction is granted, the merger would be put on hold until after a full court case on the merits of the merger is done.

Meanwhile, on Monday, September 16, the Washington State Attorney General's lawsuit to block the merger will begin its trial in Seattle. The Colorado Attorney General's lawsuit to block the merger is scheduled to start on September 30.

The outspoken work of grocery store members and our community partners, as well as many enforcement agencies like the FTC and Attorneys General, have all been central to the successful efforts so far to stop the proposed mega-merger of Kroger and Albertsons.
 

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Kroger's Q2 Earnings Call

Kroger held its 2nd quarter earnings call on Thursday, September 12, and it showed what we've been saying all along: Kroger is doing just fine, and doesn't need this merger to compete. Same store sales were up 1.2% (higher than expected) and the company pointed to higher online sales and increased loyalty households as drivers of stronger sales and growing private label brands as a driver of increased profitability. Notably, these areas—ecommerce capacity, customer loyalty and private label manufacturing—are ones that C&S Wholesale Grocery (the proposed buyer of 579 divested stores if a merger were allowed) lacks, underscoring concerns that C&S would not be able to operate those stores in a sustainable way.

Kroger also discussed strong profits in the pharmacy sector and acknowledged pharmacies as a leading cause of loyalty. We've pointed out time and time again that C&S has little to no experience managing pharmacies that are a lifeline to our communities.

Also of note, company officials claimed that shrink (the loss from theft or other causes) has been improving, though is still elevated, and that OSHA incident rates are currently at record lows. Members, who actually work in the stores, paint a very different picture of understaffed stores with high rates of shoplifting rates and significant health and safety risks.
 

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In the News

UFCW Locals 7, 324, 400, 770, 1564, and 3000 have held press conferences, store actions, webinars and interviews to raise our concerns to the public through more than a thousand media stories from coast to coast since the very first day Kroger and Albertsons announced their proposed plan to merge. Time and again grocery store workers, sharing their experiences, have proven to be a critical part of those news stories.

Most recently, several stories around the FTC trial have been noteworthy:
 

• Stop the Merger Rally of UFCW 324 highlighted on ABC 7 in California
• NPR - All Things Considered - Shoppers and workers that stand to be affected by a Kroger-Albertsons merger weigh in
• New York Times: A Trial Asks: If Grocery Rivals Merge, Do Workers Suffer? - Front page of the Business section
• Reuters: Surging grocery prices in focus as US tries to stop Kroger deal
• AP: Kroger and Albertsons defend merger plan in federal court against US regulators' objections
• Cincinnati Enquirer: Deleted texts, grocery prices: CEOs testify in Kroger-Albertsons merger case

You can find more of the most recent news coverage on the Stop the Merger website news page >>

Protecting the jobs and collective bargaining strength of union workers and keeping choice and price competition for our customers are key reasons for our long-standing and loud opposition to the proposed merger. We recently launched a Stop the Merger customer petition to continue to build public support that has already garnered thousands of signatures! Please help spread the word about our petition by sharing www.nogrocerymerger.com/petition.

We hear from customers all over the country that Kroger and Albertsons' proposed mega-merger threatens our communities with store closures, food and pharmacy deserts, thousands of laid-off unionized grocery store workers, and higher prices.

You can take action by encouraging your co-workers, family members, fellow shoppers, friends, and others in the community to sign the petition to show Kroger and Albertson that they are opposed to this disastrous proposal.

Sign and share the petition >>

In solidarity,
The Stop the Merger Coalition

Telephone Town Hall Call: Stop the Mega-Merger Update

On Monday, September 9 please join us at 5:30PM for a live telephone town hall on the topic of Kroger and Albertsons’ proposed mega merger and our ongoing efforts to stop it.

Despite what the companies are saying, this proposed merger threatens lay-offs, store closures, and higher prices as well as undercuts our strength in collective bargaining negotiations.

During the call, we will take members’ questions live on the topic of the proposed merger, discuss the ongoing federal court trial taking place in Portland regarding the Federal Trade Commission’s lawsuit to block it, as well as prepare for a rally in Seattle the first day of the trail by our Attorney General to block the merger on September 16.

We will plan to call you at 5:30PM on Monday, just answer the phone and you will join us.

If, for some reason you don’t receive a call by 5:35pm, or get disconnected during the call, you can join us by dialing directly: 888-652-0384 And enter meeting ID 8143.

Press Release: UFCW Locals issue statement in response to Kroger and Albertsons release of store divestiture list

UFCW 7, UFCW 324, UFCW 400, UFCW 770 and UFCW 3000

UFCW Locals issue statement in response to Kroger and Albertsons release of store divestiture list

July 9, 2024 – Today, a coalition of United Food & Commercial Workers local unions made the following statement after Kroger and Albertsons released to the public a specific list of stores the companies would plan to divest to C&S Wholesale Grocers if their proposed mega-merger of the two companies were approved:

“Today’s announcement changes nothing. The merger is not a done deal, far from it. We remain focused on stopping the proposed mega-merger for the same reasons we have stated since it was first announced over 20 months ago -- because we know it would harm workers, it would harm shoppers, it would harm suppliers and communities, and it is illegal. The merger proposal was rejected in January and February by the Attorneys General from the states of Colorado and Washington and the Federal Trade Commission. We applaud their actions. They have been in possession of this proposed divestiture list, made public today by the companies, for months and that did not change their opposition to the proposed merger. These legal challenges to the proposed merger are moving forward with hearings beginning at the end of July and scheduled to go through September.”

UFCW Locals issue statement on Kroger's updated proposed divesture plan

UFCW 5, 7, 324, 400, 770 and 3000

“This bigger proposed divestiture simply increases the challenge C&S, a New Hampshire-based wholesaler, would have trying to operate a hodgepodge chain of retail stores. They have no experience operating retail stores in these states, would still lack the IT, customer loyalty and manufacturing capabilities needed, and would most likely end up monetizing the real estate under many of these stores,” said a coalition of UFCW locals (Locals 5, 7, 324, 400, 770, 1564 and 3000). These local UFCWs have been central in the coalition opposing the proposed merger from the get-go and represent over 100,000 Kroger and Albertsons workers across the nation from Washington DC and surrounding states, and California, Colorado, New Mexico, Washington state and Wyoming.

Please go to www.nogrocerymerger.com for more information in the coalition efforts to oppose the proposed Kroger and Albertsons merger.

 Contact: Tom Geiger, 206-604-3421

Update on Ongoing Efforts to Stop Mega Merger as We Build Collective Strength to Protect and Improve Grocery Store Workers' Jobs

Good News on Stopping the Proposed Mega-Merger

As you may have heard, on February 26, after a massive 16-month effort by our collective of UFCW Local unions and others, we accomplished an important goal of getting the Federal Trade Commission (FTC) to officially file a lawsuit to stop the proposed mega-merger of Kroger and Albertsons. Nine states’ Attorneys General joined that FTC legal challenge. The Attorneys General of the states of Washington and Colorado also filed separate lawsuits on January 15 and February 14, respectively.

This is very good news in our campaign to protect workers, shoppers, and the community from the negative impacts that would result if this proposed merger were allowed. But the effort to stop the merger still has a way to go.

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What's Next in This Legal Process?

The legal process will likely continue for some time until one of two things happens:

1. The Federal Judge in Portland, OR, has set a date for August 26, 2024, for the trial to begin on the FTC case. The WA and CO trials can move ahead separately, but they could be coordinated with others as well. Those trials could continue until an outcome is determined.

Or:

2. The Merger Agreement of Kroger and Albertsons has an “outside date” of mid-October 2024 (two years after when it was announced) after which the companies can simply abandon the deal without paying any financial penalty to the other party, so it is also possible that Kroger and Albertsons will simply withdraw their proposed merger.

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What’s Next for Our Grocery Store Companies?

It’s time for Kroger and Albertsons to invest in grocery store workers, our customers, and our communities instead of wasting years and billions of dollars on a failed merger proposal. These companies have been doing very well and have made billions of dollars in profit in recent years. They should be making more investments in better-staffed stores, in higher retention of workers with better pay, benefits, and training, and in lower food prices for shoppers. These investments will result in Kroger and Albertsons becoming stronger companies.

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UFCW Local Members Taking Action Together for Stronger Contracts

In addition to fighting the proposed mega-merger that would cause harm to thousands of grocery store workers and millions of customers, our collective group of local UFCWs is also taking action to affirmatively improve our contracts, organize more unionized grocery stores, and more.

• Local 400 Kroger Grocery Store members in West Virginia approve new contract with major improvements after almost going on strike.

• Local 770+324 held a Rally for Food 4 Less Workers starting Contract in Southern California. Here is a video from the event as well as local ABC 7 TV News coverage from Los Angeles.

• UFCW Local 7 and 770 Members featured in national In These Times article: “The Mega Grocery Merger That Would Pay the Price For, The Kroger-Albertsons merger is a threat to grocery workers everywhere. Let’s join the fight to stop it.”

• UFCW Local 5 members at the Kroger-owned Foods Co recently ratified a new contract that includes some major improvements including: $4.50 wage increase over term of contract for top rate, large ratification bonus, an increase in all wage progressions, and a reduced amount of time to reach the experienced rate for all purpose clerks.

• Kroger workers vote to join Local 3000 in central Washington and hold Informational Pickets in eastern Washington city of Spokane for a stronger contract. KHQ 6 TV Spokane, WA covered the action for local news.

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FAQ - Does Albertsons Need to Sell? No!

After the merger is stopped, some have said that Albertsons will just be sold to some other company. That’s just not true. Before the merger proposal, a super-majority of Albertsons’ stock was owned by six massive private equity investors who wanted to sell their shares to a single buyer. But during the past 24 months, those large investors have sold the majority of their shares in Albertsons, and we expect they will continue to sell their remaining shares on the NY Stock Exchange after the merger is blocked.

The alternative—trying to sell Albertsons in whole or in part to a different buyer—would be very unlikely. Court documents show that in the summer of 2022, there were no other bidders aside from Kroger, so a new buyer would likely offer a significantly lower value for the company. Based on Albertsons’ current stock price (which is still significantly below the Kroger buyout price), the company’s total enterprise value is approximately $20 billion, or nearly $9 million per store. To put that in perspective, the current divestiture plan to C&S Wholesale proposes to pay about half of that amount. So, selling to C&S or to anyone else at that price would destroy significant value for Albertsons shareholders. And again, the company is doing well financially, and there is no need to sell. Recent quarterly reports show Albertsons is doing even better than Kroger.

Governor Signs Worker Protection Bill Championed by UFCW 3000 Grocery Store Workers into Law

OLYMPIA, WA – This morning, Governor Inslee signed into law Senate Bill 6007, a bill intended to protect grocery store workers and communities from the negative impacts of corporate megamergers in the grocery industry. Drafted in response to the news that grocery giants Kroger (owner of Fred Meyer and QFC) and Albertsons/Safeway are threatening to merge into one huge company, ESSB 6007 saw enormous support from local Washington grocery store workers and community allies, who advocated throughout the legislative session for its passage. 

“As I explained to legislators, we’ve already learned the hard way through past grocery chain mergers about the upheaval it causes for workers and shoppers when these chains merge and close or sell off neighborhood grocery stores,” said Yasmin Ashur, a UFCW 3000 member and checker at the Port Orchard Albertsons who testified in support of the bill and was on hand to see the governor sign it today. “We saw it in Port Orchard with the Albertsons/Safeway merger not that long ago. I am so proud to say I stood up with my fellow workers and helped pass legislation that will help protect our jobs.” 

This new legislation puts in place basic guidelines for large grocery stores when they change hands, like in an acquisition or merger, to ensure that essential food workers’ lives and our communities’ access to food and household necessities are not thrown into chaos. It requires public notice of new ownership, a period of job protection or re-hire for eligible current employees, protection of current working conditions and collective bargaining agreements, and mandatory engagement with local government if a merger would cause the closure of a store in an existing food desert. 

“The difference between unemployment caused by a pandemic and job loss caused by corporate buyouts is that the potential harm of a merger is foreseeable,” said Britt Leggett, a UFCW 3000 member and deli clerk at the Fred Meyer in the Ballard neighborhood of Seattle who also testified in support of the bill and attended the bill signing today. “That’s what this legislation seeks to remediate: to help workers keep their jobs and seniority when their stores changes owners. The law also ensures that constituents will be served by grocery workers who they know well, who have the skills to do their jobs, and follow the health rules to keep food safe.” 

Hundreds of grocery store workers with UFCW 3000 across the state sent messages to lawmakers encouraging the passage of SB 6007, and some traveled to Olympia to meet lawmakers in person.  

“It’s a big sacrifice for everyday working people to take time out of their busy lives to try and engage with the local political process,” said Joe Mizrahi, Secretary Treasurer of UFCW 3000. “But being in a union means we can share the load, work together, and make real change that impacts entire industries.” 

Update on Efforts to Oppose the Proposed Kroger + Albertsons Mega-Merger

Our efforts to stop the proposed mega-merger of Kroger and Albertsons reached a major milestone on Monday February 26 when the Federal Trade Commission (FTC) and nine State Attorneys General filed a lawsuit to challenge the merger. UFCW 3000 has been a national leader in opposing the proposed merger since the day it was announced in October of 2022. Since that time, we have been actively working with a core group of other UFCW locals as well as a wide range of over 150 diverse partner organizations across the nation and developed a “No Grocery Merger” coalition.
 
The effort to oppose the merger is not over yet. Kroger and Albertsons have both said they will challenge the lawsuits in court, so we expect it could be many months until an outcome is known. We will keep up the fight. And for right now we will also celebrate this major win in the struggle to protect workers, shoppers, and communities from the greed and over-reach of Kroger and Albertsons.
 
Another example of our effort to protect workers was our recent win on February 22 when we were successful in getting the Washington State Legislature to pass SB 6007 – a new law to provide protections for grocery store workers from the harm that can result when chains merge and the consequences include layoffs and store closures. 
 
For the thousands of members who have acted together – we are making a difference. The actions have included signing petitions, handing out leaflets to customers, raising our voices in local and national news stories, signing in support of our new WA law to protect workers, and so much more. And it shows that when workers and community come together and act as one, we can push back against some of the largest corporations in America.
 
Instead of spending all this time and money on a proposed merger that if allowed to proceed would lead to higher prices, closed stores, lost jobs, a reduced ability for union workers to negotiate strong contracts, and giving away billions to wealthy investors, these companies should be doing the necessary work to provide better wages and working conditions, and making stores safer.

More Detailed  Information:
On Monday February 26, 2024, the Federal Trade Commission (FTC) challenged the proposed mega-merger of Kroger and Albertsons siting concerns about how the merger would harm consumers and workers. Nine State Attorneys General (Arizona, California, District of Columbia, Illinois, Nevada, New Mexico, Oregon and Wyoming) joined the legal action as well. These are above and beyond the two other Attorneys General lawsuits from Washington and Colorado. Your support of the “No Grocery Merger” coalition is an important part of what led to this success. The 150 organizations across the nation who joined together last year to fight this merger was a show of both the power of solidarity and a diverse array of interests.

We remain committed to continue our diligent efforts to defend workers, customers and communities from the devastating harm that would be caused if such a merger were to proceed. And we also look forward to beginning to fix the broken food systems in this nation.

Additional information and past updates

1. FTC Press release: FTC Challenges Kroger’s Acquisition of Albertsons. Largest supermarket merger in U.S. history will eliminate competition and raise grocery prices for millions of Americans, while harming tens of thousands of workers, FTC alleges

2. FTC Complaint: Kroger's/Albertsons: Administrative Part 3 Complaint (Public) (ftc.gov)

3. Our press release including link to coalition partners and highlights of some of the activities over past 16 months to fight the proposed merger.

FTC Rejects Kroger - Albertsons Proposed Megamerger!

Press Release: UFCW Locals 5, 7, 324, 400, 770, 1564, 3000

For immediate release: February 26, 2024
Contact: Tom Geiger, UFCW 3000, 206-604-3421

UFCW Local Unions Applaud the FTC Decision to Reject Kroger and Albertsons Proposed Megamerger

UFCW local unions representing more than 100,000 grocery store employees working at Albertsons and Kroger-owned stores in over a dozen states and the District of Columbia applaud the FTC Decision to reject this proposed megamerger.

UFCW local unions have loudly and soundly opposed the proposed mega-merger of Kroger and Albertsons since day one because the megamerger would have resulted in lost jobs, closed stores, food deserts, and higher prices with reduced food choices – all of this would have been destructive for workers, consumers, and entire communities. Importantly, the FTC decision recognizes the threat that the merger would have caused goes beyond consumers and calls out that it would also have damaged essential grocery store workers’ wages, benefits and working conditions.

The FTC deliberations over the past 16 months, and the evidence that was gathered directed their well-founded decision. This is a step in the right direction for building a better food system in this country. Now we need to do all we can to help defend this decision and to turn the discussion towards building a better system that is more accountable to workers, shoppers, and the community.

The coalition of UFCW locals 5, 7, 324, 400, 770, 1564 and 3000 have been instrumental in the opposition to the proposed merger from the very beginning. Hundreds of actions, news stories, meetings with grocery store members, community, regulators and others and additional events have been part of that effort. Below is a varied sampling of some highlighted examples of this work.

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Linked here are a more full list of media coverage, and a long list of opposition coalition members:

October 2022

10/13 – Kroger and Albertsons, without any warning, make announcement of proposed merger.

10/13 – Group of local UFCW unions, taking advantage of close relationships forged through supportive and collaborative efforts with each other’s collective bargaining with national grocers, quickly convene and issue joint statement immediately raising concerns about the proposal. Within hours the initial news coverage that had simply contained Kroger’s statement becomes a broader story including very strong opposition and concerns.

10/22  – Joint press release by local UFCWs flags the proposed massive payout of $4 Billion by Albertsons to wealthy shareholders as part of the proposed merger. News coverage includes KIRO 7 TV story.

10/26 -  Joint press release applauding lawsuits filed by Attorneys General in multiple jurisdictions to halt Albertsons special $4 billion payout to wealthy shareholders as part of the proposed merger which Albertsons initially announced would take place in early November.  The Washington State AG case succeeds in halting this rushed payment. While it ends up being allowed to proceed, it is not until early 2023 and only after under-oath testimony from company executives disclosing critical inside information that had been unknown to the public and exposed some of the key motivations behind the proposed merger.

November 2022

11/29 Held in-person Press Conference in Washington DC with Presidents and members from the six local UFCWs of the newly formed coalition from across 12 states and the District of Columbia  (Southern CA - UFCW 324 and 770, Northern CA – UFCW 5; Washington – UFCW 3000; CO & Wyoming – UFCW 7; DC and surrounding states – UFCW 400) and Teamsters local 38 representing over 100,000 Kroger and Albertsons. The press conference was held immediately prior to a planned US Senate Subcommittee hearing on the proposed merger and helped tell the story of the negative impacts of such a merger in local and national TV, print, and radio coverage.

December 2022

12/3 – Article goes into details about concerns. “EVERYONE SHOULD BE VERY SKEPTICAL OF THE SUPPOSED BENEFITS OF THE KROGER-ALBERTSONS MERGER - Kroger can’t help but promote its own interests over customers.”

January 2023

1/23 – Ongoing opposition by states and UFCW locals discussed in Supermarket News article.. 

February 2023

2/1 – More Perfect Union posts video discussing harms and concerns of proposed merger.

2/15 - Colorado Attorney General begins series of statewide listening sessions to hear from workers, community and others about their reactions to the proposed merger. UFCW Local 7 members attend these meetings and provide critical concerns about the proposal.

March 2023

3/24 – Launch of national coalition “NoGroceryMerger.com” and website as a one-stop for the anti-merger efforts with over 100 organizations. This also becomes a place to chronicle much of the media coverage around the country about the opposition and provides a degree of a check and balance to the Kroger and Albertson’s PR machinery. https://www.nogrocerymerger.com/news

April 2023

4/4-4/13 – Grocery store workers take actions in front of stores across the nation to connect with customers and share concerns about the proposed merger and how it would harm workers and customers with closed stores, lay-offs, higher prices, and in some locations food deserts. 

May 2023

After months of deliberation and ultimately a unanimous vote at the UFCW International Convention opposing the merger, UFCW International Union announces opposition to the proposed Kroger Albertsons merger. National press coverage is widespread including a Wall Street Journal headline: “Biggest Grocery Union Opposes $20 Billion Kroger-Albertsons Deal - UFCW International is concerned about potential divestitures and stores’ future viability.”

June 2023

6/29 – A week of actions held by UFCW grocery store workers across the nation include many in California that generated local press coverage like KTLA 5 TV story: Southern California grocery workers rally against Albertsons-Kroger merger (youtube.com) 

July 2023

7/26 – Coalition of UFCW locals issue statement condemning announced pay-outs of over $146 million to top executives if merger were approved.  Coverage includes Cincinnati Enquirer article.

August 2023

8/23 – State Treasurers raise concerns about proposed merger. News stories include Bloomberg Law article: “Kroger Grocery Deal Will Harm Workers State Treasurers Tell FTC”

September 2023

9/20 – National press conference held by coalition of local UFCWs to expose concerns about the recently announced divestiture to C&S Wholesale. Generates significant local and national press coverage and begins the public discussion of major concerns about C&S as an inadequate proposed remedy to the proposed mergers anti-trust challenges. Results in many stories including Supermarket News story titled “UFCW cites ‘echoes of Haggen’ in proposed C&S deal”

9/27 – UFCW local 7 hold Town Hall with members to update on opposition to proposed merger and take questions. Thousands attend.

October 2023

10/30 – Progressive Grocer published op-ed titled: Opinion: Kroger-Albertsons Proposed Mega-Merger Is a Threat to Workers and Shoppers Alike

November 2023

11/1 - FTC Chair Khan hold listening session in Denver and hears widespread concerns from workers, consumers, suppliers and others. Significant press coverage of event includes stories like the Colorado Public Radio story: “Grocery workers ask FTC chair to stop Kroger Albertsons merger during Denver visit” UFCW members from California, Washington and Colorado attend this important event to share their stories.

11/11 – Marshall Steinbaum, an economic from University of Utah, issues report that was supported by coalition of local UFCWs 5, 7, 324, 400, 770 and 3000, titled: Evaluating the Competitive Effect of the Proposed Kroger-Albertsons Merger in Labor Markets

11/14 – American Economic Liberties Project, hold national briefing and press event with UFCW grocery store members and representatives from five additional organizations including: Ranch Foods, Independent Grocers Association, Open Markets Institute, Farm Action and Alaska Public Interest Research Group

December 2023

12/11 – Teamsters International issues strong statement in opposition to merger divestiture proposal: TEAMSTERS CALL ON FTC TO REJECT KROGER-ALBERTSONS PROPOSED ASSET SALES TO C&S

January 2024

1/15 – UFCW local coalition Issues statement applauding Washington State Attorney General Lawsuit – with our quote in local and national press coverage of the lawsuit. Coverage includes national AP story: “Washington State Sues to Block Proposed Merger of Kroger and Albertsons Grocery Chains”

1/23 - Held two webinars (1/23 AM and PM) to update members on details of the proposed merger and collective efforts to fight the proposal with over 500 members in attendance.

1/25 - Held multiple meetings with Kroger as well as C&S Wholesale. We found out no new information in the meetings that dissuaded us from our position of opposition, in fact we found out additional concerning information as well continued to ask for information that was still not provided.

1/26 - Held national online press conference (1/26) to continue to clarify our position of opposition so media and members of the public understood our reasons and the various threats to workers, consumers and communities by both the proposed merger and the proposed divestiture plan – with over 50 reporters in attendance. Generated local and national press coverage educating the public, workers and others. Example: https://www.cbsnews.com/colorado/news/grocery-worker-union-gives-update-proposed-kroger-albertsons-merger-timeline/

February 2024

2/1 - UFCW 3000 and Teamsters 38 hold live Telephone Town Hall to update and educate members, and answer questions of members with thousands of members in attendance.

2/14 – Colorado Attorney General files lawsuits against the merger. Local and national coverage. One example: CBS News Colorado: https://www.cbsnews.com/colorado/news/colorado-attorney-general-files-lawsuit-block-merger-between-kroger-albertsons/

2/22 – The Washington State Legislature passed SB 6007 – a new law to provide protections for grocery store workers from the harm that can result when chains merge and the consequences include layoffs and store closures. 

Press Release: Opposition to Albertsons/Kroger Mega-Merger Gains Momentum

For Immediate Release: February 20, 2024

Contact: Tom Geiger, UFCW 3000, 206-604-3421

After States Sue to Block Proposed Albertsons + Kroger Mega-Merger, Opposition Led By UFCW Local Unions Gains Momentum

Our coalition of local UFCW unions, collectively representing over 100,000 Kroger and Albertsons workers in over a dozen states, welcomes the actions by the Colorado Attorney General last week, joining others in moves to block the proposed merger of Kroger and Albertsons.

Our coalition has been outspoken in its opposition to the proposed mega merger of Kroger and Albertsons since it was first announced by those companies in October of 2022. Over the last 16 months, our opposition has both deepened and broadened. The revelations contained in the lawsuits filed by the Attorney General of Washington last month and the Attorney General of Colorado last week, have only increased our opposition to the proposed merger and further exposed the damage it would inflict on consumers, workers, and communities if it were allowed to proceed. The addition of the companies’ deeply flawed divestiture plan has likewise increased our opposition as we believe it would result in the closure of grocery stores in hundreds of communities. Again, we oppose this merger in the strongest terms possible and remain hopeful for federal enforcement action to block it and protect consumers, workers, and the public.

Background: In addition to our coalition’s volumes of actions and press statements over the past 16 months and actions by others in the NoGroceryMerger.com coalition, the below are statements from the two International Unions representing most unionized grocery store and grocery warehouse workers:

• Statement from UFCW International after a unanimous vote at the UFCW Convention to oppose the proposed merger: https://www.ufcw.org/press-releases/americas-largest-union-of-essential-grocery-workers-announces-opposition-to-kroger-and-albertsons-merger/)

• Statement from Teamsters International in opposing the proposed divestiture: https://teamster.org/2023/12/teamsters-call-on-ftc-to-reject-kroger-albertsons-proposed-asset-sales-to-cs/