PRESS RELEASE: Kroger to Close Two Additional Fred Meyer Stores in Puget Sound Region

*** FOR IMMEDIATE RELEASE ***

August 19, 2025
Kroger to Close Two Additional Fred Meyer Stores in Puget Sound Region
Contact: Rich Smith, UFCW 3000 Communications Director
rsmith@ufcw3000.org / 816-289-4520

No, this is not the same press release our union issued yesterday.

Kroger, the Ohio-based corporation that owns QFC and Fred Meyer, plans permanently to close two additional Fred Meyer stores in the Puget Sound region on October 17 and 18, affecting 343 workers.

The stores currently serve Lake City (13000 Lake City Way NE; 175 workers affected) and Redmond (17667 NE 76th St; 168 workers affected).

The company claims that those facilities represent some of the region’s lowest performers in terms of sales.

Today's announcement comes one day after the corporation announced plans to close Fred Meyer locations in Kent and Everett. All told, the closure of these four stores affects 703 workers.

In July, the company also announced plans to close a Tacoma Fred Meyer and the Mill Creek QFC. The announcement today raises the number of Kroger-store closures in our region to six.

We will sit down with the company to bargain over these changes in the coming days.

Our union contracts stipulate that Kroger must offer workers placement in equivalent positions at nearby stores, in accordance with their union seniority.

These closures apparently align with Kroger’s plan to shutter stores in low-sales areas and open stores in potentially high-sales areas, with new Kroger stores scheduled to open in 2026.

This strategy raises serious concerns about food access for working class communities. Three out of the four stores Kroger plans to close are located in zip codes with incomes that rank below their respective county’s household median income.

“In this era of mass consolidation, many of the workers we represent have come to expect this kind of callous, out-of-touch corporate management style from Kroger, but staggering store closure announcements that impact hundreds of workers and thousands of our neighbors over the course of two days is really something else,” said Faye Guenther, UFCW 3000 President.

She added: “Kroger’s closures put profit over people, plain and simple. This corporate strategy might please Wall Street investors, but we know it’ll create food deserts in our neighborhoods and disrupt the lives of hundreds of workers already displaced by a housing affordability crisis now ten years in the making. Without a doubt, these issues will lead our agenda when we return to the table with Kroger and Albertsons in 2027. In the meantime, our union strongly encourages elected leaders to prioritize policies that increase access to fresh, affordable food for all.”

In response to statements from Kroger attributing closures to crime, Bryan Gilderoy, a produce clerk who has worked at the Fred Meyer in Kent for 15 years, said: “From what I can tell in the store, crime has calmed down since COVID. Kroger added security after we demanded it, and things have gotten way better. As a matter of fact, a regular customer came in just yesterday and told me she comes to this store because she feels safest here.”

Washington State Governor Bob Ferguson said, “My office is watching this closely. The closure of six grocery stores in the Puget Sound region creates a lot of uncertainty for the workers and communities who depend on these stores to feed their families. In the coming months, we will be talking to workers and communities about their needs and build on the work we've been doing to make housing and food more affordable in Washington.”

Seattle Congresswoman Pramila Jayapal said, “Food deserts aren’t a natural phenomenon—giant grocery store corporations create them when they put their bottom lines over the health and well-being of our communities and workers. Closing stores will put people out of work and make it harder for families to put food on the table – all for the benefit of corporate shareholders and even as CEOs take home millions in pay every single year. I founded the Monopoly Buster’s Caucus in Congress to fight back against this exact kind of treatment of working-class people – consumers and workers – and we’ll be fighting to ensure that everyone has access to quality, affordable food.”

Background

On a June 20, 2025 earnings call, Kroger Interim CEO Ronald Sargent explained the context of the closures this way: “Unfortunately, today, not all of our stores are delivering the sustainable results we need. It's also important to note we paused our annual store review during the merger process ... We usually evaluate individual store performance on an annual basis, and we continue to do that, but we deferred closing any stores due to the merger process.”

Between 2022 and 2024, Kroger spent more than $1 billion in an attempt to merge with Albertsons, which owns Safeway and Haggen, among other banners.

After UFCW 3000 grocery store workers launched a campaign to stop that merger, judges blocked the $25 billion deal in December of 2024. That same month, Kroger announced $7.5 billion in stock buybacks.

Following the failed merger, C&S Wholesalers sued Kroger, claiming Kroger owed the company $125 million. Kroger settled that suit last week on August 11, 2025.

In 2024, Kroger saw a 77% higher net income and 63% higher operating income than they did in 2019, according to company filings (London Stock Exchange Group).

After authorizing a strike in June of 2025, this July grocery store workers in the Puget Sound region ratified a new contract that won first-in-the-nation language to address staffing issues, secured our union healthcare and pensions, and gained some of the largest average annual wage increases we have seen.

UFCW 3000 is the largest private-sector union in Washington State, representing more than 55,000 workers in grocery, healthcare, cannabis, retail, food packing and processing, and textiles and laundry, among other industries. We represent nearly 30,000 grocery workers in Washington, eastern Oregon, and north Idaho.

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UFCW 3000 Stands Ready to Boycott Air Travel in Response to Trump Admin’s Attack on TSA Union  

FOR IMMEDIATE RELEASE 
March 7, 2024 

Press Release: UFCW 3000 Stands Ready to Boycott Air Travel in Response to Trump Admin’s Attack on TSA Union   

DES MOINES, WA – UFCW 3000, the largest private sector union in the Pacific Northwest, condemns the Department of Homeland Security’s decision to illegally dissolve its collective bargaining contract with 47,000 Transportation Security Administration (TSA) workers organized with the American Federation of Government Employees (AFGE). 

Our union views the Administration’s action as an egregious violation of workers’ basic right to participate in a democracy. TSA workers democratically voted to organize their workplace, they democratically voted to ratify their contract, and this Administration has now undemocratically silenced those voices.  

In response, our union stands ready to support any actions initiated by our union siblings in the TSA, including a boycott on air travel and work stoppages of any kind.  

“This Administration's agenda becomes clearer every day. Its goal is to eliminate all democratic institutions from our lives, plunder money from workers, and funnel as much of it as possible to the corporate and billionaire class,” said UFCW 3000 President Faye Guenther. “Workers will not allow Trump and the billionaire class to profit from the destruction of our hard-won rights.”  

 

 

 

 

 

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.

A graph titled "Feeding Wall St: KRreveals its priorities." The vertical y axis is labeled in billions of dollars.

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.”

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