Bartell Drugs & Rite Aid - Severance Pay & Store Closure Information

/

On May 5, our union, along with other UFCW locals across the country, received notice that Rite Aid is filing for bankruptcy again and plans to close all store locations in the coming months. They aim to sell all their stores by August 2025. As we learn more information, we will send communications out through email and through our website.

While we do not yet know the timeline, it is important for all our members at Rite Aid and Bartell Drug stores to know their rights under our current contract.

If you have any questions about the closures or if you’re considering retirement, please call your union representative, Aaron Bailey, at (206) 436-6631.

  • Members have severance pay rights if their store is closed (see enclosed)

  • Your pension is still available and will not be affected by Rite Aid’s closure. For any pension questions, please call our pension office, Sound Retirement Trust, directly at (206) 282-4500.

  • For Bartell Drug members’ healthcare related questions, please call Sound Health and Wellness at (206) 282-4500.

  • King County Labor Council also has an online union hiring hall to see other union job openings in our area at www.unionhiringhall.org

  • If you have any questions about the closures or if you’re considering retirement, please call your union representative, Aaron Bailey, at (206) 436-6631.

Our contracts at Bartell Drugs and Rite Aid have strong language in Article 6.9 (2) around you receiving severance if you are laid off due to a store closure:

Years of Service Severance Amount Two (2) through four (4) years 1 week severance Five (5) through six (6) years 2 weeks severance Seven (7) through eight (8) years 3 weeks severance Nine (9) through ten (10) years 4 weeks severance Ten (10) years or more 5 weeks severance

Article 6.9 (3) — Severance pay will equate to the average hours paid in the fourteen (14) weeks, Sunday through Saturday, preceding separation, not to exceed forty (40) hours straight time pay.

Article 6.9 (4) — Workers who receive severance pay shall be paid accrued, unused personal holidays and accrued, unused vacation.

As union members at Rite Aid and Bartell, we have the right to be transferred to a union store in order of seniority. Work with your union rep and Rite Aid HR on relocating to a store nearby.

If you have any questions or concerns, reach out to your Union Reps, Aaron Bailey (206) 436-6631, or our Member Resource Center (866) 210-3000.

We have gotten reports that Bartell Drugs has told members to put in their two weeks’ notice if workers are leaving the company or moving to a non-union store—you will not receive severance pay if you put in your two weeks’ notice instead of being laid off! In order to receive the severance as outlined in our contract, you will need to be laid off by Bartell Drugs/Rite Aid.

Read your Contracts:

Bartell Drugs Contract

https://ufcw3000.org/find-your-contract/2015/2/4/bartell-drugs-contract

Rite Aid Contract

https://ufcw3000.org/find-your-contract/2015/2/25/rite-aid-contract

Resources:

The Unemployment Law Project: a free service that supports workers receiving their unemployment benefits at (206) 441-9178 or online:

unemploymentlawproject.org

UFCW Represented Work Locations: Stay protected through a union contract at our other represented locations—on our website find “Who We Represent”:

ufcw3000.org/shop-union

If you are laid off, you should qualify for unemployment benefits through the Washington State Employment Security Department if all have worked at least 680 hours within the last year. You can file a claim for benefits at 800-318-6022 or online:

esd.wa.gov/unemployment

UFCW 3000 Member Stories: Shama Ramzan

/

Shama RamZan (furthest to the left) in The now closed Des Moines Bartell Drugs

Before Rite Aid filed for bankruptcy it had started to close area stores, including the Bartell Drugs stores that they had purchased in 2021. Unfortunately for Shama Ramzan and her coworkers, one of them was the Des Moines Bartell Drugs. Under the union contract, however, workers had rights to severance pay based on their years of service with Bartell Drugs.

Contract negotiations for Bartell Workers had already been underway when the first round of store closures was announced, and so the Union at the bargaining table began to ask questions about the scope and timeline for any planned store closures.

Shama and her coworkers at other locations began to speak up and demanded that Rite Aid be transparent about the store closures and insist that benefits would be paid out on a timely basis. Because of Shama and her coworkers’ advocacy, the Union was able to successfully fight back against Rite Aid’s delays in communication and ensure that Bartell Drugs union members received the severance deserved on a timely basis.

Rite Aid’s failure as a company is not the fault of the employees! Sometimes it is when times are toughest that having a union really counts, and can ensure that even when your store closes, there are benefits to help cushion the blow.

Rite Aid - Contract Ratified

/

On Thursday, April 7, Rite Aid members voted to ratify the new contract. In the coming weeks many members will be receiving a $0.40 raise that is retroactive back to January 1 of this year, a ratification bonus of $600 (fulltime) or $300 (part-time 30 hours or less), as well as other improvements to the contract including new safety language to make sure that Rite Aid is providing a safe place for us to work!

Rite Aid - Tentative Agreement Reached Online Vote Scheduled!

/

Rite Aid Tentative Agreement Reached Online Vote Scheduled!

The Union has reached a tentative agreement with Rite Aid. This contract is fully recommended by the Rite Aid member bargaining committee. It includes:

  • Pay increases every year of the contract.

  • A ratification bonus for all members employed 90 days or more.

  • No major changes to the health insurance benefits.

  • Securing our current pension benefits and

  • transitioning to the new Variable Annuity Pension.

  • Improved scheduling language.

  • Other improvements.

The online ratification vote will be held from 6:00am to 6:00pm, Thursday April 7, 2022. All documents for the vote will be available online at the time of the vote for review. In order to vote you must have a valid email address on file with the Union. Update your contact information at: ufcw21.org/update-your-information

online vote meetings

We are holding two online vote meetings to provide information and answer questions before the online vote. Wednesday, April 6, 2022 @ 6PM—8PM & Thursday, April 7, 2022 @ 9:00am—11am Contact your Union Rep or check your email for information on how to join.